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Name | Symbol | Market | Type |
---|---|---|---|
Wipro Ltd | NYSE:WIT | NYSE | Depository Receipt |
Price Change | % Change | Price | High Price | Low Price | Open Price | Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|
0.06 | 0.93% | 6.52 | 6.725 | 6.575 | 6.69 | 2,249,912 | 22:13:33 |
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of 1934
For the month of June 2024
Commission File Number 001-16139
Wipro Limited
(Exact name of Registrant as specified in its charter)
Not Applicable
(Translation of Registrants name into English)
Karnataka, India
(Jurisdiction of incorporation or organization)
Doddakannelli
Sarjapur Road
Bangalore, Karnataka 560035, India +91-80-2844-0011
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F:
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): Yes ☐ No ☒
Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): Yes ☐ No ☒
Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrants home country), or under the rules of the home country exchange on which the registrants securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrants security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.
DISCLOSURE OF RESULTS OF OPERATIONS AND FINANCIAL CONDITION
Wipro Limited, a company organized under the laws of the Republic of India (the Company), hereby furnishes the Commission with the following information concerning its public disclosures regarding its results of operations for the quarter ended June 30, 2024. The following information shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing.
On July 19, 2024, the Company announced its results of operations for the quarter ended June 30, 2024. The Company issued a press release announcing its results under International Financial Reporting Standards (IFRS), a copy of which is attached to this Form 6-K as Item 99.1.
The Company placed advertisements in certain Indian newspapers concerning its results of operations for the quarter ended June 30, 2024, under IFRS. A copy of the form of this advertisement is attached to this Form 6-K as Item 99.2.
The Company made available on its website the Condensed Consolidated Interim Financial Statements for the quarter ended June 30, 2024, under IFRS. A copy of such financial statements is attached to this Form 6-K as Item 99.3.
The Company filed with stock exchanges in India a statement of statutorily audited consolidated financial results for the quarter ended June 30, 2024, under IFRS. A copy of such financial statements is attached to this Form 6-K as Item 99.4.
The Company filed with stock exchanges in India a datasheet containing operating metrics for the quarter ended June 30, 2024. A copy of such data sheet is attached to this Form 6-K as Item 99.5.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly organized.
WIPRO LIMITED
By: |
/s/ Aparna Chandrashekar Iyer | |
Aparna Chandrashekar Iyer | ||
Chief Financial Officer | ||
Dated: July 24, 2024 |
INDEX TO EXHIBITS
Item |
||
99.1 | IFRS Press Release | |
99.2 | Form of Advertisement Placed in Indian Newspapers | |
99.3 | Consolidated Interim Financial Statements under IFRS | |
99.4 | Statutorily Audited Consolidated Financial Results filed with stock exchanges in India | |
99.5 | Data sheet containing operating metrics filed with stock exchanges in India |
Exhibit 99.1
FOR IMMEDIATE RELEASE
Wipro announces results for the quarter ended June 30, 2024
Large Deal Bookings at $1.2 billion.
IT Services Margin expands 0.4% YoY. EPS increases 9.9% YoY.
Operating cash flows at 131.6% of net income.
EAST BRUNSWICK, N.J. | BANGALORE, India July 19, 2024: Wipro Limited (NYSE: WIT, BSE: 507685, NSE: WIPRO), a leading technology services and consulting company, announced financial results under International Financial Reporting Standards (IFRS) for the quarter ended June 30, 2024.
Highlights of the Results
Results for the Quarter ended June 30, 2024:
1. | Gross revenue was at ₹ 219.6 billion ($2,635.8 million1), a decrease of 1.1% QoQ and 3.8% YoY. |
2. | IT services segment revenue was at $2,625.9 million, a decrease of 1.2% QoQ and decrease of 5.5% YoY. |
3. | Non-GAAP2 constant currency IT Services segment revenue decreased 1.0% QoQ, and 4.9% YoY. |
4. | Total bookings3 was at $3,284 million. Large deal bookings4 was at $1,154 million, a decrease of 3.1% QoQ and 3.6% YoY. |
5. | IT services operating margin5 for the quarter was at 16.5%, an increase of 0.1% QoQ and 0.4% YoY. |
6. | Net income for the quarter was at ₹ 30.0 billion ($360.4 million1), an increase of 5.9% QoQ and 4.6% YoY. |
7. | Earnings per share for the quarter was at ₹ 5.75 ($0.071), an increase of 5.9% QoQ and 9.9% YoY. |
8. | Operating cash flows of ₹ 40.0 billion ($479.0 million1), an increase of 6.5% YoY and at 131.6% of Net Income for the quarter. |
9. | Voluntary attrition was at 14.1% on a trailing 12-month basis. |
Outlook for the Quarter ending September 30, 2024
We expect revenue from our IT Services business segment to be in the range of $2,600 million to $2,652 million*. This translates to sequential guidance of (-)1.0% to +1.0% in constant currency terms.
* | Outlook for the Quarter ending September 30, 2024, is based on the following exchange rates: GBP/USD at 1.26, Euro/USD at 1.08, AUD/USD at 0.66, USD/INR at 83.27 and CAD/USD at 0.73 |
1
Performance for the Quarter ended June 30, 2024
Srini Pallia, CEO and Managing Director, said We recorded another quarter of total large deal bookings over $1 bn, with our largest win in the recent years. Our top accounts continued to grow, accompanied by a growth in Americas1 SMU, BFSI and Consumer sectors. We are pleased with the momentum we have built in Q1 across industries and sectors and confident in our ability to execute better on bookings and profitable growth as we transition to Q2. While we continue to build on our ai360 strategy and preparing our workforce for an AI-first future.
Aparna Iyer, Chief Financial Officer, said We continued to expand our margins to 16.5% in Q125, this is a 42-bps improvement YoY. Our margin performance is also reflected in our EPS increase of 10% YoY. Our operating cash flows continue to be strong at 131.6% of our net income which takes our current investment and cash balance to $5.4 billion.
1. | For the convenience of the readers, the amounts in Indian Rupees in this release have been translated into United States Dollars at the certified foreign exchange rate of US$1 = ₹ 83.33, as published by the Federal Reserve Board of Governors on June 30, 2024. However, the realized exchange rate in our IT Services business segment for the quarter ended June 30, 2024, was US$1= ₹ 83.38 |
2. | Constant currency for a period is the product of volumes in that period times the average actual exchange rate of the corresponding comparative period. |
3. | Total Bookings refers to the total contract value of all orders that were booked during the period including new orders, renewals, and increases to existing contracts. Bookings do not reflect subsequent terminations or reductions related to bookings originally recorded in prior fiscal periods. Bookings are recorded using then-existing foreign currency exchange rates and are not subsequently adjusted for foreign currency exchange rate fluctuations. The revenues from these contracts accrue over the tenure of the contract. For constant currency growth rates, refer note 2. |
4. | Large deal bookings consist of deals greater than or equal to $30 million in total contract value. |
5. | IT Services Operating Margin refers to Segment Results Total as reflected in IFRS financials. |
6. | Voluntary attrition is in IT Services computed on a quarterly annualised basis and excludes DOP. |
2
Highlights of Strategic Deal Wins
In the first quarter, Wipro continued to win large and strategic deals across industries. Key highlights include:
1. | Wipro has been awarded a $500 million deal by a leading U.S. communications services provider. This is a five-year contract to provide managed services for select products and industry-specific solutions. |
2. | Wipro was selected by a global leader in technology to reimagine its hyperscaler customer experience centers through AI-powered operations. Wipro will enable real-time business insights, scale talent, and reduce cost of operations for the clients centers across the world. Additionally, the team will modernize the clients global R&D lab infrastructure and accelerate innovation with rapid prototyping and increased speed to market of new products and services. |
3. | A US-based health insurance company has engaged Wipro to deliver end-to-end transformation of its medical claims processing. Over this multi-year deal, Wipro will implement customized AI-based solutions, for claims processing, error prediction and agent assist. Wipros AI solution will deliver higher accuracy in claims processing leading to a reduction in out-of-compliance claim appeals and an overall decrease in the cost of operations. Wipro is leveraging GenAI and AI to accelerate training and optimize resource allocation for the client. |
4. | A US-based automotive Tier 1 supplier has selected Wipro to streamline its global technology services and rationalize its applications including both Engineering and business to support its portfolio. The Wipro team will develop a solution leveraging automation and AI to improve the clients customer experience and reduce its overall operating costs, enhance innovation as well as improve project delivery. |
5. | A leading provider of innovative flash memory solutions has selected Wipro as its strategic partner for Product Development and Engineering. The Wipro team will establish a Center of Excellence for Solid State Drive SSD engineering by leveraging its deep domain expertise on storage firmware, embedded software, system validations and GenAI methodologies to enhance the clients product development life cycle. |
6. | Wipro has secured a transformational engagement with a state government organization in Australia to deliver a centralized road asset management system. This system will help the client make reliable and fast strategic decisions for the future of its road network. The One Wipro team, with Rizing, Wipro Enterprise Futuring and Domain & Consulting, will improve management of road assets like bridges, tunnels, traffic assets, etc., through integration and automation of the road asset register. The team will also deliver new capabilities to support business needs like staff mobility, leading to improved user experience with an intuitive map driven approach. |
7. | A US-based payment services corporation has selected Wipro to enhance its applications to provide more resilient services, improve performance and scalability to support projected business growth. In partnership with the client, the Wipro team will develop and deploy solutions utilizing proven Continuous Integration & Deployment pipelines, leveraging AI. As a result, the client will have better visibility of compliance requirements and see improved agility andproductivity. |
3
8. | A US-based global technology company has selected Wipro to develop and enhance its Silicon IP lifecycle. The Wipro team will deploy a comprehensive end-to-end solution that includes silicon engineering services encompassing areas such as analog circuit, layout, and structural designs. The project will result in increased agility and transparency across the Silicon IP lifecycle. |
9. | An Australian public health services organization has chosen Wipro to migrate its legacy systems and automate its workforce management process. The Wipro team will build a solution that connects the aged care community with essential providers and services. The client will see enhanced accessibility and exchange of medical data, improved quality, and safety of primary healthcare services, as well as increased innovation and efficiency through digital technologies. |
10. | A global pharmaceutical organization has expanded its existing relationship with Wipro, selecting it to deliver persona-based services for their Service Desk and onsite Field Support Services globally. The programme includes 12 transformation initiatives to modernize the clients operating model and improve its user experience through Gen AI use cases, including autopilot-based provisioning, and remote management of applicable devices through zero-touch remote IT services resolution. As a result of this project, the client will see enhanced employee experience and increased productivity. |
11. | A Europe-based investment management company has selected Wipro to manage its end-to-end infrastructure. The Wipro team will consolidate vendors across the clients IT operations and develop AI tools to simplify its operations. This project will improve the clients operational stability and security, reduce costs, and increase its cost efficiency by up to 30%. |
12. | One of Europes largest providers of holiday parks has selected Wipro to integrate its business functions into a single set of standardized technology platforms with a redesigned operating model. The Wipro team will design the business processes, build and roll out core business platforms for the clients commerce, finance, and HR functions. The team will also build a data platform to gain better business insights and roll out a change management program to ensure a smooth transition. This project will deliver harmonized and integrated systems enabling the clients future business growth. |
13. | A leading US-based technology company has selected Wipro to provide end-user sales and support services for its Spanish and Portuguese-speaking customers in Latin America. Wipro will deploy its trusted digital marketing advisors to support end users marketing presence. The team will also help in boosting advertising revenue growth through ad campaign optimization, market planning and book management. |
4
Analyst Recognition
1. | Wipro was rated as a Leader in Avasants Applied AI Services 2024 RadarView |
2. | Wipro was designated as a Leader in Avasants Cybersecurity Services 2024 RadarView |
3. | Wipro was recognized as a Leader in IDC MarketScape: Worldwide Consulting and Digital Services Providers for the Upstream Oil and Gas Industry 2024 Vendor Assessment (Doc # US51004123 May 2024) |
4. | Wipro was recognized as a Leader in Everest Groups Mainframe Services PEAK Matrix® Assessment 2024 |
5. | Wipro was ranked as a Leader in Avasants Manufacturing Digital Services 2024 RadarView |
6. | Wipro was rated as a Leader in ISG Provider Lens - Digital Engineering Services 2024 (all quadrants) |
7. | Wipro was classified as a Leader in ISG Provider Lens - Microsoft Cloud Ecosystem 2024 (multiple quadrants) |
8. | Wipro was recognized as a Leader in ISG Provider Lens - SAP Ecosystem 2024 (multiple quadrants) |
9. | Wipro was featured as a Horizon 3 Market Leader in the HFS Horizons: HCP Service Providers, 2024 report |
10. | Wipro was classified as a Leader in Avasants Banking Process Transformation 2024 RadarView |
11. | Wipro was positioned as a Leader in the 2024 Gartner® Magic Quadrant for Finance and Accounting Business Process Outsourcing |
12. | Wipro was rated as a Leader in ISG Provider Lens - Procurement Services 2024 (all quadrants) |
Source & Disclaimer: *Gartner, Magic Quadrant for Finance and Accounting Business Process Outsourcing, Jan Ambergen, et al, 21 May 2024.
GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally, and MAGIC QUADRANT is a registered trademark of Gartner, Inc. and/or its affiliates and are used herein with permission. All rights reserved.
Gartner does not endorse any vendor, product, or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartners research publications consist of the opinions of Gartners research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.
The Gartner content described herein (the Gartner Content) represents research opinion or viewpoints published, as part of a syndicated subscription service, by Gartner, Inc. (Gartner), and is not a representation of fact. Gartner Content speaks as of its original publication date (and not as of the date of this press release, and the opinions expressed in the Gartner Content are subject to change without notice.
IT Products
1. | IT Products segment revenue for the quarter was ₹ 0.5 billion ($5.6 million1) |
2. | IT Products segment results for the quarter were (-) ₹ 0.05 billion (-$0.56 million1) |
5
Please refer to the table on page 12 for reconciliation between IFRS IT Services Revenue and IT Services Revenue on a non-GAAP constant currency basis.
About Key Metrics and Non-GAAP Financial Measures
This press release contains key metrics and non-GAAP financial measures within the meaning of Regulation G and Item 10(e) of Regulation S-K. Such non-GAAP financial measures are measures of our historical or future performance, financial position or cash flows that are adjusted to exclude or include amounts that are excluded or included, as the case may be, from the most directly comparable financial measure calculated and presented in accordance with IFRS.
The table on page 12 provides IT Services Revenue on a constant currency basis, which is a non-GAAP financial measure that is calculated by translating IT Services Revenue from the current reporting period into U.S. dollars based on the currency conversion rate in effect for the prior reporting period. We refer to growth rates in constant currency so that business results may be viewed without the impact of fluctuations in foreign currency exchange rates, thereby facilitating period-to-period comparisons of our business performance. Further, in the normal course of business, we may divest a portion of our business which may not be strategic. We refer to the growth rates in both reported and constant currency adjusting for such divestments in order to represent the comparable growth rates.
Our key metrics and non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles and should not be considered a substitute for, or superior to, the most directly comparable financial measure calculated in accordance with IFRS and may be different from non-GAAP measures used by other companies. Our key metrics and non-GAAP financial measures are not comparable to, nor should be substituted for, an analysis of our revenue over time and involve estimates and judgments. In addition to our non-GAAP measures, the financial statements prepared in accordance with IFRS and the reconciliation of these non-GAAP financial measures with the most directly comparable IFRS financial measure should be carefully evaluated.
Results for the Quarter ended June 30, 2024, prepared under IFRS, along with individual business segment reports, are available in the Investors section of our website www.wipro.com/investors/
Quarterly Conference Call
We will hold an earnings conference call today at 07:00 p.m. Indian Standard Time (9:30 a.m. U.S. Eastern Time) to discuss our performance for the quarter. The audio from the conference call will be available online through a webcast and can be accessed at the following link- https://links.ccwebcast.com/?EventId=WIP19072024
An audio recording of the management discussions and the question-and-answer session will be available online and will be accessible in the Investor Relations section of our website at www.wipro.com
About Wipro Limited
Wipro Limited (NYSE: WIT, BSE: 507685, NSE: WIPRO) is a leading technology services and consulting company focused on building innovative solutions that address clients most complex digital transformation needs. Leveraging our holistic portfolio of capabilities in consulting, design, engineering, and operations, we help clients realize their boldest ambitions and build future-ready, sustainable businesses. With over 230,000 employees and business partners across 65 countries, we deliver on the promise of helping our clients, colleagues, and communities thrive in an ever-changing world. For additional information, visit us at www.wipro.com
6
Contact for Investor Relations | Contact for Media & Press | |||
Dipak Kumar Bohra | Abhishek Jain | |||
Phone: +91-80-6142 7201 | Phone: +91-80-6142 6143 | Phone: +91-80-6142 6450 | ||
dipak.bohra@wipro.com | abhishek.jain2@wipro.com | media-relations@wipro.com |
Forward-Looking Statements
The forward-looking statements contained herein represent Wipros beliefs regarding future events, many of which are by their nature, inherently uncertain and outside Wipros control. Such statements include, but are not limited to, statements regarding Wipros growth prospects, its future financial operating results, the benefits its customers experience and its plans, expectations and intentions. Wipro cautions readers that the forward-looking statements contained herein are subject to risks and uncertainties that could cause actual results to differ materially from the results anticipated by such statements. Such risks and uncertainties include, but are not limited to, risks and uncertainties regarding fluctuations in our earnings, revenue and profits, our ability to generate and manage growth, complete proposed corporate actions, intense competition in IT services, our ability to maintain our cost advantage, wage increases in India, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, restrictions on immigration, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, the success of the companies in which we make strategic investments, withdrawal of fiscal governmental incentives, political instability, war, legal restrictions on raising capital or acquiring companies outside India, unauthorized use of our intellectual property and general economic conditions affecting our business and industry.
Additional risks that could affect our future operating results are more fully described in our filings with the United States Securities and Exchange Commission, including, but not limited to, Annual Reports on Form 20-F. These filings are available at www.sec.gov. We may, from time to time, make additional written and oral forward-looking statements, including statements contained in the companys filings with the Securities and Exchange Commission and our reports to shareholders. We do not undertake to update any forward-looking statement that may be made from time to time by us or on our behalf.
# # #
(Tables to follow)
7
WIPRO LIMITED AND SUBSIDIARIES
INTERIM CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(₹ in millions, except share and per share data, unless otherwise stated)
As at March 31, 2024 | As at June 30, 2024 | |||||||||||
|
|
Convenience translation into US dollar in millions (unaudited) |
||||||||||
ASSETS |
||||||||||||
Goodwill |
316,002 | 316,054 | 3,793 | |||||||||
Intangible assets |
32,748 | 30,971 | 372 | |||||||||
Property, plant and equipment |
81,608 | 79,957 | 960 | |||||||||
Right-of-Use assets |
17,955 | 19,233 | 231 | |||||||||
Financial assets |
||||||||||||
Derivative assets |
25 | | | |||||||||
Investments |
21,629 | 21,262 | 255 | |||||||||
Trade receivables |
4,045 | 584 | 7 | |||||||||
Other financial assets |
5,550 | 5,290 | 63 | |||||||||
Investments accounted for using the equity method |
1,044 | 999 | 12 | |||||||||
Deferred tax assets |
1,817 | 1,752 | 21 | |||||||||
Non-current tax assets |
9,043 | 9,453 | 113 | |||||||||
Other non-current assets |
10,331 | 11,656 | 140 | |||||||||
|
|
|
|
|
|
|||||||
Total non-current assets |
501,797 | 497,211 | 5,967 | |||||||||
|
|
|
|
|
|
|||||||
Inventories |
907 | 912 | 11 | |||||||||
Financial assets |
||||||||||||
Derivative assets |
1,333 | 1,359 | 16 | |||||||||
Investments |
311,171 | 351,917 | 4,223 | |||||||||
Cash and cash equivalents |
96,953 | 98,304 | 1,180 | |||||||||
Trade receivables |
115,477 | 114,071 | 1,369 | |||||||||
Unbilled receivables |
58,345 | 61,720 | 741 | |||||||||
Other financial assets |
10,536 | 9,050 | 109 | |||||||||
Contract assets |
19,854 | 19,414 | 233 | |||||||||
Current tax assets |
6,484 | 6,031 | 72 | |||||||||
Other current assets |
29,602 | 30,827 | 370 | |||||||||
|
|
|
|
|
|
|||||||
Total current assets |
650,662 | 693,605 | 8,324 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL ASSETS |
1,152,459 | 1,190,816 | 14,291 | |||||||||
|
|
|
|
|
|
|||||||
EQUITY |
||||||||||||
Share capital |
10,450 | 10,460 | 126 | |||||||||
Share premium |
3,291 | 5,512 | 66 | |||||||||
Retained earnings |
630,936 | 661,495 | 7,938 | |||||||||
Share-based payment reserve |
6,384 | 5,498 | 66 | |||||||||
Special Economic Zone re-investment reserve |
42,129 | 41,602 | 499 | |||||||||
Other components of equity |
56,693 | 55,526 | 666 | |||||||||
|
|
|
|
|
|
|||||||
Equity attributable to the equity holders of the Company |
749,883 | 780,093 | 9,361 | |||||||||
Non-controlling interests |
1,340 | 1,669 | 20 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL EQUITY |
751,223 | 781,762 | 9,381 | |||||||||
|
|
|
|
|
|
|||||||
LIABILITIES |
||||||||||||
Financial liabilities |
||||||||||||
Loans and borrowings |
62,300 | 62,317 | 748 | |||||||||
Lease liabilities |
13,962 | 16,191 | 194 | |||||||||
Derivative liabilities |
4 | | | |||||||||
Other financial liabilities |
4,985 | 5,747 | 69 | |||||||||
Deferred tax liabilities |
17,467 | 17,231 | 207 | |||||||||
Non-current tax liabilities |
37,090 | 37,238 | 447 | |||||||||
Other non-current liabilities |
12,970 | 13,879 | 167 | |||||||||
|
|
|
|
|
|
|||||||
Total non-current liabilities |
148,778 | 152,603 | 1,832 | |||||||||
|
|
|
|
|
|
|||||||
Financial liabilities |
||||||||||||
Loans, borrowings and bank overdrafts |
79,166 | 82,283 | 987 | |||||||||
Lease liabilities |
9,221 | 8,115 | 97 | |||||||||
Derivative liabilities |
558 | 141 | 2 | |||||||||
Trade payables and accrued expenses |
88,566 | 83,051 | 997 | |||||||||
Other financial liabilities |
2,272 | 2,825 | 34 | |||||||||
Contract liabilities |
17,653 | 17,541 | 211 | |||||||||
Current tax liabilities |
21,756 | 26,881 | 323 | |||||||||
Other current liabilities |
31,295 | 33,743 | 405 | |||||||||
Provisions |
1,971 | 1,871 | 22 | |||||||||
|
|
|
|
|
|
|||||||
Total current liabilities |
252,458 | 256,451 | 3,078 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL LIABILITIES |
401,236 | 409,054 | 4,910 | |||||||||
|
|
|
|
|
|
|||||||
TOTAL EQUITY AND LIABILITIES |
1,152,459 | 1,190,816 | 14,291 | |||||||||
|
|
|
|
|
|
8
WIPRO LIMITED AND SUBSIDIARIES
INTERIM CONDENSED CONSOLIDATED STATEMENT OF INCOME
(₹ in millions, except share and per share data, unless otherwise stated)
Three months ended June 30, | ||||||||||||
2023 | 2024 | 2024 | ||||||||||
|
|
Convenience translation into US dollar in millions (unaudited) |
||||||||||
Revenues |
228,310 | 219,638 | 2,636 | |||||||||
Cost of revenues |
(161,261 | ) | (153,306 | ) | (1,840 | ) | ||||||
|
|
|
|
|
|
|||||||
Gross profit |
67,049 | 66,332 | 796 | |||||||||
Selling and marketing expenses |
(16,584 | ) | (15,844 | ) | (190 | ) | ||||||
General and administrative expenses |
(15,887 | ) | (14,213 | ) | (172 | ) | ||||||
Foreign exchange gains/(losses), net |
(62 | ) | (206 | ) | (2 | ) | ||||||
|
|
|
|
|
|
|||||||
Results from operating activities |
34,516 | 36,069 | 432 | |||||||||
Finance expenses |
(3,086 | ) | (3,288 | ) | (39 | ) | ||||||
Finance and other income |
6,542 | 7,480 | 90 | |||||||||
Share of net profit/ (loss) of associate and joint venture accounted for using the equity method |
3 | (45 | ) | (1 | ) | |||||||
|
|
|
|
|
|
|||||||
Profit before tax |
37,975 | 40,216 | 482 | |||||||||
Income tax expense |
(9,115 | ) | (9,850 | ) | (118 | ) | ||||||
|
|
|
|
|
|
|||||||
Profit for the period |
28,860 | 30,366 | 364 | |||||||||
|
|
|
|
|
|
|||||||
Profit attributable to: |
||||||||||||
Equity holders of the Company |
28,701 | 30,032 | 360 | |||||||||
Non-controlling interests |
159 | 334 | 4 | |||||||||
|
|
|
|
|
|
|||||||
Profit for the period |
28,860 | 30,366 | 364 | |||||||||
|
|
|
|
|
|
|||||||
Earnings per equity share: |
||||||||||||
Attributable to equity holders of the Company |
||||||||||||
Basic |
5.23 | 5.75 | 0.07 | |||||||||
Diluted |
5.12 | 5.73 | 0.07 | |||||||||
Weighted average number of equity shares used in computing earnings per equity share |
||||||||||||
Basic |
5,482,733,329 | 5,225,776,256 | 5,225,776,256 | |||||||||
Diluted |
5,600,307,315 | 5,236,768,113 | 5,236,768,113 |
9
Information on reportable segments for the three months ended June 30, 2024, March 31, 2024, and June 30, 2023, year ended March 31, 2024 are as follows:
Particulars |
Three months ended | Year ended | ||||||||||||||
June 30, 2024 |
March 31, 2024 |
June 30, 2023 |
March 31, 2024 |
|||||||||||||
Audited | Audited | Audited | Audited | |||||||||||||
Segment revenue |
||||||||||||||||
IT Services |
||||||||||||||||
Americas 1 |
67,700 | 67,229 | 65,607 | 268,230 | ||||||||||||
Americas 2 |
67,338 | 67,724 | 68,303 | 269,482 | ||||||||||||
Europe |
60,422 | 61,344 | 67,134 | 253,927 | ||||||||||||
APMEA |
23,503 | 24,499 | 26,510 | 102,177 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total of IT Services |
218,963 | 220,796 | 227,554 | 893,816 | ||||||||||||
IT Products |
469 | 1,159 | 694 | 4,127 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total segment revenue |
219,432 | 221,955 | 228,248 | 897,943 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Segment result |
||||||||||||||||
IT Services |
||||||||||||||||
Americas 1 |
13,687 | 14,081 | 13,537 | 59,364 | ||||||||||||
Americas 2 |
15,533 | 15,791 | 14,169 | 59,163 | ||||||||||||
Europe |
5,873 | 7,933 | 9,968 | 33,354 | ||||||||||||
APMEA |
2,441 | 3,401 | 2,800 | 12,619 | ||||||||||||
Unallocated |
(1,477 | ) | (5,011 | ) | (3,957 | ) | (20,304 | ) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Total of IT Services |
36,057 | 36,195 | 36,517 | 144,196 | ||||||||||||
IT Products |
(47 | ) | 143 | (161 | ) | (371 | ) | |||||||||
Reconciling Items |
59 | (965 | ) | (1,840 | ) | (7,726 | ) | |||||||||
|
|
|
|
|
|
|
|
|||||||||
Total segment result |
36,069 | 35,373 | 34,516 | 136,099 | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Finance expenses |
(3,288 | ) | (3,308 | ) | (3,086 | ) | (12,552 | ) | ||||||||
Finance and other income |
7,480 | 6,759 | 6,542 | 23,896 | ||||||||||||
Share of net profit/ (loss) of associate and joint venture accounted for using the equity method |
(45 | ) | (202 | ) | 3 | (233 | ) | |||||||||
|
|
|
|
|
|
|
|
|||||||||
Profit before tax |
40,216 | 38,622 | 37,975 | 147,210 | ||||||||||||
|
|
|
|
|
|
|
|
10
Additional Information:
The Company is organized into the following operating segments: IT Services and IT Products.
IT Services: The IT Services segment primarily consists of IT services offerings to customers organized by four Strategic Market Units (SMUs) - Americas 1, Americas 2, Europe and Asia Pacific Middle East and Africa (APMEA). Americas 1 and Americas 2 are primarily organized by industry sector, while Europe and APMEA are organized by countries.
Americas 1 includes the entire business of Latin America (LATAM) and the following industry sectors in the United States of America: Communications, media and information services, Software and gaming, New age technology, Consumer goods, medical devices and life sciences, Healthcare, and Technology products and services. Americas 2 includes the entire business in Canada and the following industry sectors in the United States of America: Banking and financial services, Energy, Manufacturing and resources, Capital markets and insurance, and Hi-tech.
Europe consists of the United Kingdom and Ireland, Switzerland, Germany, Benelux, the Nordics and Southern Europe.
APMEA consists of Australia and New Zealand, India, Middle East, South-East Asia, Japan and Africa.
Revenue from each customer is attributed to the respective SMUs based on the location of the customers primary buying center of such services. With respect to certain strategic global customers, revenue may be generated from multiple countries based on such customers buying centers, but the total revenue related to these strategic global customers are attributed to a single SMU based on the geographical location of key decision makers.
IT Products: The Company is a value-added reseller of security, packaged and SaaS software for leading international brands. In certain total outsourcing contracts of the IT Services segment, the Company delivers hardware, software products and other related deliverables. Revenue relating to these items is reported as revenue from the sale of IT Products.
11
Reconciliation of selected GAAP measures to Non-GAAP measures
Reconciliation of Non-GAAP Constant Currency IT Services Revenue to IT Services Revenue as per IFRS ($Mn)
Three Months ended June 30, 2024 | ||||
IT Services Revenue as per IFRS |
$ | 2,625.9 | ||
Effect of Foreign currency exchange movement |
$ | 5.5 | ||
|
|
|||
Non-GAAP Constant Currency IT Services Revenue based on previous quarter exchange rates |
$ | 2,631.4 |
Three Months ended June 30, 2024 | ||||
IT Services Revenue as per IFRS |
$ | 2,625.9 | ||
Effect of Foreign currency exchange movement |
$ | 17.0 | ||
|
|
|||
Non-GAAP Constant Currency IT Services Revenue based on exchange rates of comparable period in previous year |
$ | 2,642.9 |
12
Reconciliation of Free Cash Flow for three months ended June 30, 2024
Amount in INR Mn |
||||
Three months ended |
||||
30-Jun-24 | ||||
Net Income for the period [A] |
30,366 | |||
Computation of Free Cash Flow |
||||
Net cash generated from operating activities [B] |
39,959 | |||
Add/ (deduct) cash inflow/ (outflow) on: |
||||
Purchase of property, plant and equipment |
(2,619 | ) | ||
Proceeds from sale of property, plant and equipment |
36 | |||
Free Cash Flow [C] |
37,376 | |||
Operating Cash Flow as percentage of Net Income [B/A] |
131.6 | % | ||
Free Cash Flow as percentage of Net Income [C/A] |
123.1 | % |
13
Exhibit 99.2
y v v yy.i iiinii^i.i./m , xioo.^wi i 0/-l UIXUHI. JULI ^?-i iuit -1 ^ qfdtem $W I ft) Union Bank %^ vft^Bv ^ HJiftsR-vj * Of India (0 VYOM & *)Hh CTflfM itff M9W ft Cuve-rnipcn of India U_nldi^Ki-ni rAfc.-Fn1m4jS.1w tar ? ,??* Hoad Office: 239, VWhan Bhavan Mara, N?3nmrin Point, Mumbai-400 021. I ? In rahh _STANDALONE__CONSOLIDATED _ QUARTER ENDEE) | YEAR EN PEP quarter ENDED I YEAfl ENDED PARTICULARS 30.06.2024 FMLMiKS-f^31.03,2024 31.03.2024 30.06,2024 I 30.06^023 I 31.032024 3103.2024 __(Unaudited) (Unfiled) (Audiled) (Audited) jUn audited) (Unaudited] (Audited) jftttjjjtejj ^Total Income from Qperalwras 30,67,352 g7,3S,1Z5 31,05,75? 1,15.&5.ei-5 31,32^7 27,82122& 31,6 U 58 1.18.1^.835 Net Profit r1 (Loss) for the period (Before T&k, ExTOptonalOTdtar 5.02,950 5,17,429 5,27,33a 21 .^3.03-9 4,95.449 &.1B,042 5,28,120 21.50.&22 EKtaortfinary items) Net Pro-fit / (Loss) for trie period before taM After Excsptionai 5.02.950 5r17.429 5,27.335 -21,43.0m 4.95r44fl &.tfl,042 5i&,120 21.50.322 snoVof Exfrgonjingry items)__ Net Profit i (Loss) for the period Consolidated Audited Financial Results ofWipro Limited under IFRS ^lT?mT M76 m 3**° im1 m1 382,827 r and/or EitratJTrJinary items) (tin millions, exccp per share data., unless otherwise stated) Total Comprehensive Income for 1 [ 1 I |h.« period [Comprising Profit ^ Particulars Quarter ended Year ended Quarter ended ^ for ^patau After tax) ua r-,-. na na NA na Hk HA __June30,2024 March 31,2024 June 30,2023 anaother CrjmprahensEv* Revenue from operations 219h63fl 697,603 228,310 Jncome (Afar la*}} Paid up Equity Share Capital 7.03.3*31 6.B3.475 7.63.301 7,63.361 7,63.361 6.83.475 r.Ga.Jo 7.03.301 Profit before tax 40,216 147,210 37,975 - Reserves (Ewciutfing Profit after tax 30,366 111,121 28,860 Revaluation Reserve) as shown m fee Audited Eala,C& Sheet **&>m Total comprehensive income forthe period 29,197 118,248 31,710 of (he previous year Paid-up equity share capital 10,460 10,450 10,978 Net Worth 93rT4,7fl6 [ 65,23,633 | 37,60,131 94.D1.48B 03,39,091 37,90,363 £7,96,363 < {Par value of ^ 2 per share) Securities Premium 25.51,318 18,34,118 25,51,318 25.51,31 fl 25.59r4&0 1 &,42.281 25r59.4B0 25.5&.4AQ Reserves excluding non-control ling interest1 739,433 739,433 770, IBS Debenture Rertemptmr; Reserve_-J_ ? 314 314 314 314 as shown in the Audited Statement of Paid DebtCatfrdt I Financial Position Outstanding EteM 1W&0° ]*&m m ^m l7^°° m 17S^° Earnings per equity share Debt Equity Ralia_ Q.Z7 j Q.4Q Q.3T__n^i 0_47^__031__031_ {Par value of ?Z per share) Earnings Pfer Share _ {EPS for quarter ended periods are Basic ~^4~74~~ ~mfT~ ~^lT~ _:479~~ IS not annualized) Basic(in?) 5.75 20.89 5.23 _I__52_2i«J_!M=J__IZiJ__1 Diluted: (in?) 5.73 20-82 6.12 NOTES: -1-1-1-1 a) Ths stiQVB i& an eidraDi of the detailad formal erf Quarterly Yaarly Financial Resulls filed with His Stock Ejtchangas under Ragulaliofi 33 fi 52 of Ihe SEEI (Lining balance forthe quarter ended June 30, 2024 and year ended March 31,2024 represent balances as perthe audited R^ifear^a.aNabi^nJh^^i^orihes^kE.nhang^) n J r r |www.n-spindn.cnm www.bsairdi-a.comland or ^heBan* swebsita iwww.unprjnban-konndla.CQ.iFi). consolidated stat&rrient of f nancial position forthe year ended March 31, 2024 and balance for the quarter ended b) For 1he clber line itaniE ishamed in RaguiarJcn GJi-lJ c~ Ihe SEBI [Listing Obligations and Disclosure Requirements) Regulations. 2015. the rjeniren: dis&ta&ures have June 30r 2023 represent balances as per the audited consolidated statement of financial position for the year ended ^niadetoiiiBSnGkE^an^^ Ma rc h 31.2023 r as req u i red by the S EBE (Li sti ng Obi i gat Ions a n d Di sclo s u r e Req u i rements) Regu lations r 2015. _F ur arHj an ^M nf ^ a, D irac1ar!i_ The audited consolidated financial results of the Company for the quarter ended June 30, 2024 have been u Sa~ Stf Sd . ~ Place: Mumbai Pankaj Dwivedi Sanjsy Ridra Famasrjhrainaniai S. Nitesti Ranjan A. mammQVlatai a p p roved by th e Boa rd of Di recto rsof the Company at its meeting held on July 19, 2024. Th e stat u t ory a ud i tors Date l 19.07 2024 ExflGulrve Direclor Executive Director Executive Director Exfic*rtive Dlrecdw lUla Jiaging Director i CEO have expressed an unmodified audit opinion. f- Do not s/iare your Internet Banking details, such asH user ID / password or Financial fteSLlltSOf WiprO Limited under Ind AS your credit / debit Card number / CVV/ OTP with anyoneeither over phone or through email The financial results are prepared in accordance with Indian Accounting Standards (Ind AS71), the provisions JT ., ^ ., , JJ1M M, , r . , JMM -i.,p. . . . oftheCompariesAot,!Di3(theCompameSAct^a3aPPlicaWe3nclg:id,lir1eSis,Ued6ytKeSecu,itieSarld (Toll Free No.) 1800 20! 2244/1600 4251515/1800 425 3555 | ©9666606060 | Error! Hyperlink reference not valid. Exchange Board of India (SEBI J. The Ind AS are prescribed under Secthon 133 of the Act read with Rule 3 of lf v w ^ the Companies (Indian Accounting Standards) Rules, 2015 and amendment rules issued thereafter. Consolidated Audited Financial Results of Wipro Limited under Ind AS ; I Efalkfc^irf| !LY^fc ItHB^gi^mBmfl (tin millionsf except per share data, unless otherwise stated) VSSSr ? D_j. ±. n. , ? r r -^^iM^yiiJtJii^iliiiliiiaiHUliiiiiJiaiiaajii^H Share Department, Board & Co-ordination Division -1-1--1I Nit Ho 174PPPCE3 -14^PPP/2023 Dated 20.07.2024 ptDt Uq. 4, Dwarka Sector-10h New Delhi-110075 Particulars , fcJ , , , NOTICE INVITING EXPRESSION OF INTEREST (EOI) Email Id: hosd@pnb.coJn, Tel # 011-28044857 June3Q,2024 March31,2024 June30,2023 Uttar Pradesh. State Road Tran sport Corpo ration i U P5 RTC) f& p leased to PUBLIC NQTIC E Revenue from Operations 219r63& 897,603 225,310 Iwte EwnKSions of Interest (EOI) fromqusNfied cpn^lting engineerini 9iventhat Share Certificate of the Bar* menlbned 0 jl . r-;-T^7^ artd, c^trfe^f ior *S ^^j^ ^ an Independent be|flW has bB>J r d |M, , misplaced , stolfln and tne Profit before tax 40r216 147,210 37,97& E^meer for the developmen of Bus Terminal cmn Commercial fstered hotder , e|aimant therelcf have rec{lie5ted tor -Complex, to be executed under 3 Public-Pnvate Partnership (FPP) model, jSsU& of duplicate shara certificata? Profit after taK 30T36& 111J21 23,SoO located at Avodhva Priam ^Yodhy^ Amau&i (Lucknow), Charba&h -r--r? n. .-r, _:__i (U£know|,fta0bareilly. 2&roRoad(PrayagriJ)andSohfabgate(Meerut). ept *n^re Uistmotive No. Total comprehensive income for the period 29,198 113,130 31,717 Ejrjjfl^Ji^r^ **** ° %pte Scares ShL^a For detailed- information, please refer to our official website Ma,hhai n=*a iasm^7 ^flTc^Vrnv- Paid-up equity share capital 10r460 10,450 10,976 httpsj/wwwupsrtc.iip.govjn Qr https-ftetendewpnicin [J^ S^lffifflS (Par value Of ^ 2 per share) Suhmlsslori D#ao11lne l All Interested and competent consulting Beene D^pa^ Dewi ! !~ engineering firms and corporate bodfes should submit their proposals no (claoarnO Reserves excluding non-controlling interest1 734,680 734,B80 765,703 [ |aterthanjuly2r,aoz4,bTfl=00PW I5T. Managine Director | In case any person hLs any rjaim in respect of the said shares / any as shown in the Audited Balance Sheet otjjecr-icn(&) for the issuance, or duplicate certificate^) in favour of the above stated shareholders) / claimarrt(sj, he / she I they should lodge Earnings per equity share Iheir claim or objecton within 15 days of the date or pubUcaiion of (hi& (Par velue of ? 2 per share) Notice. EF within 15 days from the date hereof no claim is received by the f EP<3 for n s j a rtf>r « ndpd n*»r i ndsar^ e*nk i[1 ^sp^1 of tne said certificate^), duplicate share certifK;ate(s) / l tot- q u a rrer e noeo pen oa s a re tener(s) of confirmation will be issued. The puHrc Is hereby cautioned not a n n U a I IZed J ^ ^,,, H1 ci y ^ 1Cj , & i ^ way ivil11 i te a: 10^^ n-en i irjrie ri r;^r1 ii i :,h l^r s) Basic: (in?) 5,75 20.S9 5.23 For Punjab National Bank Dtluted:{in?) 5.73 20,82 5.12 t cJn^lt^ _:_1_I_I_I_I I Frac&r New Dcihi_Company Secretary Balance for the quarter ended June 30> 2024 and year ended March 31, 2024 represent balances as per the t audited consolidated balance sheet for the year ended March 31, 2024 and batancefor the quarter ended June OKIE Q7 f*fKAKAl IKJI/* ATlOKIQ I IIVVIITCr^ 30,2023 represent balances as perthe audited consolidated balance sheet forthe year ended March 3112023, PflzB I III wIVI IVIU IN IL#A I IvJINO LI Ml I tIJ as required by the SEBI {Listing Obligations and Disclosure Requirements) Regulations. 2015. C|N: 1 «2QQDL2cm»pi cioagss A B FcgtelcrodOWie^Piisli-loyi.DcvikaToiiwr.NemuPlic^MCfWDclhli^^ The audited consolidated financial results (under Ind AS) of the Company forthe quarter ended June 30, 2024 i^l^^i^-Ml^^n Tai:+si iTieisosso; w^ke: www.Paytm,com , j. n . ,. 1 1 1 j-irtrtrtrtj tl I vJLw IJ Corporate Of lie*: Pay tm Corporate OffJce, One £kymarkr Tower-Dr Plot No. H-10B, Sect&f-^y, have been approved by the Board of Directors of the Company at its meeting held on Julv 19, 2024. The m.wl L r JM ^ 7 r ^ Hmda 2U1304, Ultar PtadSah, India L^t-Jtutory auditors have expressed an unmodified audit opinion. Tel:-su?o 4770??o; F-meii:eflmpiianw-&fflcer^payiin.c^ Standalone Audited Financial Results of Wipro Limited under Ind AS [tin millionSr except per snare dataT unless otherwise stated) 1-,-1-1-(*mon5j. Quarter Ended Year Ended PflrtSnilara Quarter ended Year ended Quarter ended g Par«culars Jun^O.2^24 March^,2W4 Jun^0,W23 March^,2W4 ? ^!t yivst* Mcvchol.l-^li June o0.1-?CZ:< i ^^udited) Edited) ^^udited) Edited) | r-Vr;1! J-? iViV:j-i,: =V!^= J !.J ^T-I 1 Total i^^e from ^^^^includin^t^r hc^) 16,^1 23,988 24,642 1,05,247 K, .- _ r .^ ,,:. ~T~- 2 Loss for the period/year before tax (8,986) (5064) (3040) (13,^4) __._1 ._._. 1_!_ 3 Loss for the ^riod/yea^ter tax (8,401) (5^05) (3^84) (14,^4) Profit aftertax 23.7A6 91,186 25,878 4 Total comprehensioe i^^^(^s) for the period/year (after tax}__(9.Q73)_(3Q2 2)__(4Q3 2)__(12,^ 8) - 5 Equity share capital 636 636 634 636 Total comprehensive income forthe period 24,403 94,996 29,008 6 othei-eqUity -i^^st) The audited standalone financial results (under Ind AS) of the Company for the quarter ended June 30n 2024 have BaSk°^S per Sare (? ^r Sare °f W/ eaCh) r 41 7 ^SCH. (13) (9) (6) ^3) been approved by the Board of Directors of the Company at its meeting held on July I9h 2024. The statutory *NotannuaiiSed for-quarter. (13) (9) (6) (22) auditors h,jVf;cxr;^L^:d unrr;odifJed audit ppfnlori- 1--1-1-1-1-1 Note: il^il^il^il^Hllinfinffm The above is an extract of the detailed format of Quarterly Financial Results filed with the Stock Exchanges (7 in millions] tr d r d * No Part^ulars June30,2024 March 31,2024 June 30,2023 March 31,2024 www,bseindia.com), trie National Stock Exchange website [URL: www,nseindia.com) and on the Companys (Unaudited) (Audited) (Unaudited) (Audited) ????^ ?? 1 Total income from operations (including other income) 12,^0 18,^7 19,^0 81^2 2 sfrte i d/ r fretx (8, 6) (5, 3) (3, ) (14,7 ) 3 sfrte i d/ r trtx (8, 6) (5, 3) (3, ) (14,7 ) Notes: Places BengalUTU Risfl ad A. Premji V Tha-abova nru BKlracl of the Oelailad rorma( nf Unaudited Financial ffisnjlt^ (CrmSoFid^tad end Standalone) fir Ilia quarter andod June 3D, 2D2J riFeCt with lhc Date Julv 19 2024 Chairman JtKX e^cJianges untfer Regulation 33 -of &EBI <listlr»g Obligations and olserosure fl«iuJriement5> n^gyiaiiortSj 2Qi5, as amended, The-yii format ol financial * 1 results are available on the stock exchange websilei jwww.rreeindia.com and wvjw.bselndla.com) and on tha Company^ wctHitE (www.paytm.com). ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ 2. Thw .jboue Unaudiled Fi narccial Resurts have Been rawaEwed by line Audit Commiltee and approved by the Board of Directors of [ha Company in their respective mattings.nettle jyiy 19. 2024. refffW W^fl ^uti -ffiRP! 3Tric S13*^111 deludes i hi^ for i he quartftf ended «ancn n, 20i4, being the balancing figure between audited ftgvnes- lh reject trie fun flriarelal year |jj^l^9UliU^|^l^^lj^j^| j£imi^JMAt ^£|UkHf £023-24 and the published u nauprted -year to dale figures up to The third quarter of the respective financial years 202 3 -24 which were subfeel to limited review. ? for One Comrnunications Limited jWjjajjjjgjjijijj Place: Hoida Vijay Stiekhar Sharma 3 , ! Dale: Jujy 19,2024 Chairman, Managing Director and CEO iinancialexp.epapwA--1 BENGALURU
Exhibit 99.3
WIPRO LIMITED AND SUBSIDIARIES
INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS UNDER IFRS
AS AT AND FOR THE THREE MONTHS ENDED JUNE 30, 2024
WIPRO LIMITED AND SUBSIDIARIES
INTERIM CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(₹ in millions, except share and per share data, unless otherwise stated)
Notes | As at March 31, 2024 | As at June 30, 2024 | ||||||||||||||
|
|
Convenience translation into US dollar in millions (unaudited) Refer to Note 2(iii) |
||||||||||||||
ASSETS |
||||||||||||||||
Goodwill |
6 | 316,002 | 316,054 | 3,793 | ||||||||||||
Intangible assets |
6 | 32,748 | 30,971 | 372 | ||||||||||||
Property, plant and equipment |
4 | 81,608 | 79,957 | 960 | ||||||||||||
Right-of-Use assets |
5 | 17,955 | 19,233 | 231 | ||||||||||||
Financial assets |
||||||||||||||||
Derivative assets |
17 | 25 | | | ||||||||||||
Investments |
7 | 21,629 | 21,262 | 255 | ||||||||||||
Trade receivables |
4,045 | 584 | 7 | |||||||||||||
Other financial assets |
10 | 5,550 | 5,290 | 63 | ||||||||||||
Investments accounted for using the equity method |
1,044 | 999 | 12 | |||||||||||||
Deferred tax assets |
1,817 | 1,752 | 21 | |||||||||||||
Non-current tax assets |
9,043 | 9,453 | 113 | |||||||||||||
Other non-current assets |
11 | 10,331 | 11,656 | 140 | ||||||||||||
|
|
|
|
|
|
|||||||||||
Total non-current assets |
501,797 | 497,211 | 5,967 | |||||||||||||
|
|
|
|
|
|
|||||||||||
Inventories |
8 | 907 | 912 | 11 | ||||||||||||
Financial assets |
||||||||||||||||
Derivative assets |
17 | 1,333 | 1,359 | 16 | ||||||||||||
Investments |
7 | 311,171 | 351,917 | 4,223 | ||||||||||||
Cash and cash equivalents |
9 | 96,953 | 98,304 | 1,180 | ||||||||||||
Trade receivables |
115,477 | 114,071 | 1,369 | |||||||||||||
Unbilled receivables |
58,345 | 61,720 | 741 | |||||||||||||
Other financial assets |
10 | 10,536 | 9,050 | 109 | ||||||||||||
Contract assets |
19,854 | 19,414 | 233 | |||||||||||||
Current tax assets |
6,484 | 6,031 | 72 | |||||||||||||
Other current assets |
11 | 29,602 | 30,827 | 370 | ||||||||||||
|
|
|
|
|
|
|||||||||||
Total current assets |
650,662 | 693,605 | 8,324 | |||||||||||||
|
|
|
|
|
|
|||||||||||
TOTAL ASSETS |
1,152,459 | 1,190,816 | 14,291 | |||||||||||||
|
|
|
|
|
|
|||||||||||
EQUITY |
||||||||||||||||
Share capital |
10,450 | 10,460 | 126 | |||||||||||||
Share premium |
3,291 | 5,512 | 66 | |||||||||||||
Retained earnings |
630,936 | 661,495 | 7,938 | |||||||||||||
Share-based payment reserve |
6,384 | 5,498 | 66 | |||||||||||||
Special Economic Zone re-investment reserve |
42,129 | 41,602 | 499 | |||||||||||||
Other components of equity |
56,693 | 55,526 | 666 | |||||||||||||
|
|
|
|
|
|
|||||||||||
Equity attributable to the equity holders of the Company |
749,883 | 780,093 | 9,361 | |||||||||||||
Non-controlling interests |
1,340 | 1,669 | 20 | |||||||||||||
|
|
|
|
|
|
|||||||||||
TOTAL EQUITY |
751,223 | 781,762 | 9,381 | |||||||||||||
|
|
|
|
|
|
|||||||||||
LIABILITIES |
||||||||||||||||
Financial liabilities |
||||||||||||||||
Loans and borrowings |
12 | 62,300 | 62,317 | 748 | ||||||||||||
Lease liabilities |
13,962 | 16,191 | 194 | |||||||||||||
Derivative liabilities |
17 | 4 | | | ||||||||||||
Other financial liabilities |
14 | 4,985 | 5,747 | 69 | ||||||||||||
Deferred tax liabilities |
17,467 | 17,231 | 207 | |||||||||||||
Non-current tax liabilities |
37,090 | 37,238 | 447 | |||||||||||||
Other non-current liabilities |
15 | 12,970 | 13,879 | 167 | ||||||||||||
|
|
|
|
|
|
|||||||||||
Total non-current liabilities |
148,778 | 152,603 | 1,832 | |||||||||||||
|
|
|
|
|
|
|||||||||||
Financial liabilities |
||||||||||||||||
Loans, borrowings and bank overdrafts |
12 | 79,166 | 82,283 | 987 | ||||||||||||
Lease liabilities |
9,221 | 8,115 | 97 | |||||||||||||
Derivative liabilities |
17 | 558 | 141 | 2 | ||||||||||||
Trade payables and accrued expenses |
13 | 88,566 | 83,051 | 997 | ||||||||||||
Other financial liabilities |
14 | 2,272 | 2,825 | 34 | ||||||||||||
Contract liabilities |
17,653 | 17,541 | 211 | |||||||||||||
Current tax liabilities |
21,756 | 26,881 | 323 | |||||||||||||
Other current liabilities |
15 | 31,295 | 33,743 | 405 | ||||||||||||
Provisions |
16 | 1,971 | 1,871 | 22 | ||||||||||||
|
|
|
|
|
|
|||||||||||
Total current liabilities |
252,458 | 256,451 | 3,078 | |||||||||||||
|
|
|
|
|
|
|||||||||||
TOTAL LIABILITIES |
401,236 | 409,054 | 4,910 | |||||||||||||
|
|
|
|
|
|
|||||||||||
TOTAL EQUITY AND LIABILITIES |
1,152,459 | 1,190,816 | 14,291 | |||||||||||||
|
|
|
|
|
|
The accompanying notes form an integral part of these interim condensed consolidated financial statements
As per our report of even date attached | For and on behalf of the Board of Directors | |||||
for Deloitte Haskins & Sells LLP | Rishad A. Premji | Deepak M. Satwalekar | Srinivas Pallia | |||
Chartered Accountants | Chairman | Director | Chief Executive Officer and | |||
Firms Registration No: 117366W/W100018 | Managing Director | |||||
Anand Subramanian | Aparna C. Iyer | M. Sanaulla Khan | ||||
Partner | Chief Financial Officer | Company Secretary | ||||
Membership No.: 110815 | ||||||
Bengaluru | ||||||
July 19, 2024 |
1
WIPRO LIMITED AND SUBSIDIARIES
INTERIM CONDENSED CONSOLIDATED STATEMENT OF INCOME
(₹ in millions, except share and per share data, unless otherwise stated)
Three months ended June 30, | ||||||||||||||||
Notes | 2023 | 2024 | 2024 | |||||||||||||
|
|
Convenience translation into US dollar in millions (unaudited) Refer to Note 2(iii) |
||||||||||||||
Revenues |
20 | 228,310 | 219,638 | 2,636 | ||||||||||||
Cost of revenues |
21 | (161,261 | ) | (153,306 | ) | (1,840 | ) | |||||||||
|
|
|
|
|
|
|||||||||||
Gross profit |
67,049 | 66,332 | 796 | |||||||||||||
Selling and marketing expenses |
21 | (16,584 | ) | (15,844 | ) | (190 | ) | |||||||||
General and administrative expenses |
21 | (15,887 | ) | (14,213 | ) | (172 | ) | |||||||||
Foreign exchange gains/(losses), net |
23 | (62 | ) | (206 | ) | (2 | ) | |||||||||
|
|
|
|
|
|
|||||||||||
Results from operating activities |
34,516 | 36,069 | 432 | |||||||||||||
Finance expenses |
22 | (3,086 | ) | (3,288 | ) | (39 | ) | |||||||||
Finance and other income |
23 | 6,542 | 7,480 | 90 | ||||||||||||
Share of net profit/ (loss) of associate and joint venture accounted for using the equity method |
3 | (45 | ) | (1 | ) | |||||||||||
|
|
|
|
|
|
|||||||||||
Profit before tax |
37,975 | 40,216 | 482 | |||||||||||||
Income tax expense |
19 | (9,115 | ) | (9,850 | ) | (118 | ) | |||||||||
|
|
|
|
|
|
|||||||||||
Profit for the period |
28,860 | 30,366 | 364 | |||||||||||||
|
|
|
|
|
|
|||||||||||
Profit attributable to: |
||||||||||||||||
Equity holders of the Company |
28,701 | 30,032 | 360 | |||||||||||||
Non-controlling interests |
159 | 334 | 4 | |||||||||||||
|
|
|
|
|
|
|||||||||||
Profit for the period |
28,860 | 30,366 | 364 | |||||||||||||
|
|
|
|
|
|
|||||||||||
Earnings per equity share: |
24 | |||||||||||||||
Attributable to equity holders of the Company |
||||||||||||||||
Basic |
5.23 | 5.75 | 0.07 | |||||||||||||
Diluted |
5.12 | 5.73 | 0.07 | |||||||||||||
Weighted average number of equity shares used in computing earnings per equity share |
||||||||||||||||
Basic |
5,482,733,329 | 5,225,776,256 | 5,225,776,256 | |||||||||||||
Diluted |
5,600,307,315 | 5,236,768,113 | 5,236,768,113 |
The accompanying notes form an integral part of these interim condensed consolidated financial statements
As per our report of even date attached | For and on behalf of the Board of Directors | |||||
for Deloitte Haskins & Sells LLP | Rishad A. Premji | Deepak M. Satwalekar | Srinivas Pallia | |||
Chartered Accountants | Chairman | Director | Chief Executive Officer and | |||
Firms Registration No: 117366W/W100018 | Managing Director | |||||
Anand Subramanian | Aparna C. Iyer | M. Sanaulla Khan | ||||
Partner | Chief Financial Officer | Company Secretary | ||||
Membership No.: 110815 | ||||||
Bengaluru | ||||||
July 19, 2024 |
2
WIPRO LIMITED AND SUBSIDIARIES
INTERIM CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
(₹ in millions, except share and per share data, unless otherwise stated)
Three months ended June 30, | ||||||||||||
2023 | 2024 | 2024 | ||||||||||
|
|
Convenience translation into US dollar in millions (unaudited) Refer to Note 2(iii) |
||||||||||
Profit for the period |
28,860 | 30,366 | 364 | |||||||||
Other comprehensive income (OCI) |
||||||||||||
Items that will not be reclassified to profit or loss in subsequent periods |
||||||||||||
Remeasurements of the defined benefit plans, net |
(45 | ) | 58 | 1 | ||||||||
Net change in fair value of investment in equity instruments measured at fair value through OCI |
16 | (319 | ) | (4 | ) | |||||||
|
|
|
|
|
|
|||||||
(29 | ) | (261 | ) | (3 | ) | |||||||
|
|
|
|
|
|
|||||||
Items that will be reclassified to profit or loss in subsequent periods |
||||||||||||
Foreign currency translation differences |
(362 | ) | (1,399 | ) | (17 | ) | ||||||
Reclassification of foreign currency translation differences on liquidation of subsidiaries to statement of income |
2 | ^ | ^ | |||||||||
Net change in time value of option contracts designated as cash flow hedges, net of taxes |
40 | 4 | ^ | |||||||||
Net change in intrinsic value of option contracts designated as cash flow hedges, net of taxes |
512 | 85 | 1 | |||||||||
Net change in fair value of forward contracts designated as cash flow hedges, net of taxes |
1,648 | 218 | 3 | |||||||||
Net change in fair value of investment in debt instruments measured at fair value through OCI, net of taxes |
1,039 | 184 | 2 | |||||||||
|
|
|
|
|
|
|||||||
2,879 | (908 | ) | (11 | ) | ||||||||
|
|
|
|
|
|
|||||||
Total other comprehensive income, net of taxes |
2,850 | (1,169 | ) | (14 | ) | |||||||
|
|
|
|
|
|
|||||||
Total comprehensive income for the period |
31,710 | 29,197 | 350 | |||||||||
|
|
|
|
|
|
|||||||
Total comprehensive income attributable to: |
||||||||||||
Equity holders of the Company |
31,640 | 28,865 | 346 | |||||||||
Non-controlling interests |
70 | 332 | 4 | |||||||||
|
|
|
|
|
|
|||||||
31,710 | 29,197 | 350 | ||||||||||
|
|
|
|
|
|
|||||||
^ Value is less than 0.5 |
The accompanying notes form an integral part of these interim condensed consolidated financial statements
As per our report of even date attached | For and on behalf of the Board of Directors | |||||
for Deloitte Haskins & Sells LLP | Rishad A. Premji | Deepak M. Satwalekar | Srinivas Pallia | |||
Chartered Accountants | Chairman | Director | Chief Executive Officer and | |||
Firms Registration No: 117366W/W100018 | Managing Director | |||||
Anand Subramanian | Aparna C. Iyer | M. Sanaulla Khan | ||||
Partner | Chief Financial Officer | Company Secretary | ||||
Membership No.: 110815 | ||||||
Bengaluru | ||||||
July 19, 2024 |
3
WIPRO LIMITED AND SUBSIDIARIES
INTERIM CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
(₹ in millions, except share and per share data, unless otherwise stated)
Other components of equity | ||||||||||||||||||||||||||||||||||||||||||||||||
Particulars |
Number of shares (1) |
Share capital, fully paid-up |
Share premium |
Retained earnings |
Share- based payment reserve |
Special Economic Zone re-investment reserve |
Foreign currency translation reserve (2) |
Cash flow hedging reserve (3) |
Other reserves (2) |
Equity attributable to the equity holders of the Company |
Non-controlling interests |
Total equity |
||||||||||||||||||||||||||||||||||||
As at April 1, 2023 |
5,487,917,741 | 10,976 | 3,689 | 660,964 | 5,632 | 46,803 | 43,255 | (1,403 | ) | 11,248 | 781,164 | 589 | 781,753 | |||||||||||||||||||||||||||||||||||
Comprehensive income for the period |
||||||||||||||||||||||||||||||||||||||||||||||||
Profit for the period |
| | | 28,701 | | | | | | 28,701 | 159 | 28,860 | ||||||||||||||||||||||||||||||||||||
Other comprehensive income |
| | | | | | (359 | ) | 2,200 | 1,098 | 2,939 | (89 | ) | 2,850 | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Total comprehensive income for the period |
| | | 28,701 | | | (359 | ) | 2,200 | 1,098 | 31,640 | 70 | 31,710 | |||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Issue of equity shares on exercise of options |
924,252 | 2 | 466 | | (466 | ) | | | | | 2 | | 2 | |||||||||||||||||||||||||||||||||||
Issue of shares by controlled trust on exercise of options (1) |
| | | 444 | (444 | ) | | | | | | | | |||||||||||||||||||||||||||||||||||
Compensation cost related to employee share-based payment |
| | | 3 | 1,546 | | | | | 1,549 | | 1,549 | ||||||||||||||||||||||||||||||||||||
Transferred from Special Economic Zone re-investment reserve |
| | | 912 | | (912 | ) | | | | | | | |||||||||||||||||||||||||||||||||||
Liability for Buyback of equity shares, including tax thereon |
| | | (144,978 | ) | | | | | | (144,978 | ) | | (144,978 | ) | |||||||||||||||||||||||||||||||||
Transaction cost related to Buyback |
| | | (348 | ) | | | | | | (348 | ) | | (348 | ) | |||||||||||||||||||||||||||||||||
Others |
| | | | | | | | | | (35 | ) | (35 | ) | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Other transactions for the period |
924,252 | 2 | 466 | (143,967 | ) | 636 | (912 | ) | | | | (143,775 | ) | (35 | ) | (143,810 | ) | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
As at June 30, 2023 |
5,488,841,993 | 10,978 | 4,155 | 545,698 | 6,268 | 45,891 | 42,896 | 797 | 12,346 | 669,029 | 624 | 669,653 | ||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) | Includes 8,607,941 treasury shares held as at June 30, 2023 by a controlled trust. 1,287,895 shares have been transferred by the controlled trust to eligible employees on exercise of options during the three months ended June 30, 2023. |
(2) | Refer to Note 18 |
(3) | Refer to Note 17 |
4
WIPRO LIMITED AND SUBSIDIARIES
INTERIM CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
(₹ in millions, except share and per share data, unless otherwise stated)
Other components of equity | ||||||||||||||||||||||||||||||||||||||||||||||||
Particulars |
Number of shares (1) |
Share capital, fully paid-up |
Share premium |
Retained earnings |
Share- based payment reserve |
Special Economic Zone re-investment reserve |
Foreign currency translation reserve (2) |
Cash flow hedging reserve (3) |
Other reserves (2) |
Equity attributable to the equity holders of the Company |
Non-controlling interests |
Total equity |
||||||||||||||||||||||||||||||||||||
As at April 1, 2024 |
5,225,138,246 | 10,450 | 3,291 | 630,936 | 6,384 | 42,129 | 47,261 | 578 | 8,854 | 749,883 | 1,340 | 751,223 | ||||||||||||||||||||||||||||||||||||
Comprehensive income for the period |
||||||||||||||||||||||||||||||||||||||||||||||||
Profit for the period |
| | | 30,032 | | | | | | 30,032 | 334 | 30,366 | ||||||||||||||||||||||||||||||||||||
Other comprehensive income |
| | | | | | (1,398 | ) | 307 | (76 | ) | (1,167 | ) | (2 | ) | (1,169 | ) | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Total comprehensive income for the period |
| | | 30,032 | | | (1,398 | ) | 307 | (76 | ) | 28,865 | 332 | 29,197 | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Issue of equity shares on exercise of options |
5,025,959 | 10 | 2,221 | | (2,221 | ) | | | | | 10 | | 10 | |||||||||||||||||||||||||||||||||||
Compensation cost related to employee share-based payment |
| | | | 1,335 | | | | | 1,335 | | 1,335 | ||||||||||||||||||||||||||||||||||||
Transferred from Special Economic Zone re-investment reserve |
| | | 527 | | (527 | ) | | | | | | | |||||||||||||||||||||||||||||||||||
Others |
| | | | | | | | | | (3 | ) | (3 | ) | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Other transactions for the period |
5,025,959 | 10 | 2,221 | 527 | (886 | ) | (527 | ) | | | | 1,345 | (3 | ) | 1,342 | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
As at June 30, 2024 |
5,230,164,205 | 10,460 | 5,512 | 661,495 | 5,498 | 41,602 | 45,863 | 885 | 8,778 | 780,093 | 1,669 | 781,762 | ||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Convenience translation into US dollar in millions (unaudited) Refer to Note 2(iii) |
126 | 66 | 7,938 | 66 | 499 | 550 | 11 | 105 | 9,361 | 20 | 9,381 | |||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) | Includes 5,952,740 treasury shares held as at June 30, 2024 by a controlled trust. |
(2) | Refer to Note 18 |
(3) | Refer to Note 17 |
The accompanying notes form an integral part of these interim condensed consolidated financial statements
As per our report of even date attached | For and on behalf of the Board of Directors | |||||
for Deloitte Haskins & Sells LLP | Rishad A. Premji | Deepak M. Satwalekar | Srinivas Pallia | |||
Chartered Accountants | Chairman | Director | Chief Executive Officer and | |||
Firms Registration No: 117366W/W100018 | Managing Director | |||||
Anand Subramanian | Aparna C. Iyer | M. Sanaulla Khan | ||||
Partner | Chief Financial Officer | Company Secretary | ||||
Membership No.: 110815 | ||||||
Bengaluru | ||||||
July 19, 2024 |
5
WIPRO LIMITED AND SUBSIDIARIES
INTERIM CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
(₹ in millions, except share and per share data, unless otherwise stated)
Three months ended June 30, | ||||||||||||
2023 | 2024 | 2024 | ||||||||||
|
|
Convenience translation into US dollar in millions (unaudited) Refer to Note 2(iii) |
||||||||||
Cash flows from operating activities |
||||||||||||
Profit for the period |
28,860 | 30,366 | 364 | |||||||||
Adjustments to reconcile profit for the period to net cash generated from operating activities: |
||||||||||||
(Gain)/loss on sale of property, plant and equipment, net |
78 | (23 | ) | ^ | ||||||||
Depreciation, amortization and impairment expense |
7,380 | 7,289 | 87 | |||||||||
Unrealized exchange (gain)/loss, net and exchange (gain)/loss on borrowings |
(226 | ) | 92 | 1 | ||||||||
Share-based compensation expense |
1,546 | 1,335 | 16 | |||||||||
Share of net (profit)/loss of associate and joint venture accounted for using equity method |
(3 | ) | 45 | 1 | ||||||||
Income tax expense |
9,115 | 9,850 | 118 | |||||||||
Finance and other income, net of finance expenses |
(3,456 | ) | (4,192 | ) | (50 | ) | ||||||
Change in fair value of contingent consideration |
(16 | ) | | | ||||||||
Lifetime expected credit loss/ (write-back) |
300 | (26 | ) | ^ | ||||||||
Changes in operating assets and liabilities, net of effects from acquisitions |
||||||||||||
(Increase)/Decrease in trade receivables |
11,633 | 4,529 | 54 | |||||||||
(Increase)/Decrease in unbilled receivables and contract assets |
(6,047 | ) | (3,208 | ) | (38 | ) | ||||||
(Increase)/Decrease in Inventories |
(182 | ) | (6 | ) | ^ | |||||||
(Increase)/Decrease in other assets |
5,292 | 140 | ^ | |||||||||
Increase/(Decrease) in trade payables, accrued expenses, other liabilities and provisions |
(8,052 | ) | (1,039 | ) | (12 | ) | ||||||
Increase/(Decrease) in contract liabilities |
(3,072 | ) | (73 | ) | (1 | ) | ||||||
|
|
|
|
|
|
|||||||
Cash generated from operating activities before taxes |
43,150 | 45,079 | 540 | |||||||||
Income taxes paid, net |
(5,637 | ) | (5,120 | ) | (61 | ) | ||||||
|
|
|
|
|
|
|||||||
Net cash generated from operating activities |
37,513 | 39,959 | 479 | |||||||||
|
|
|
|
|
|
|||||||
Cash flows from investing activities: |
||||||||||||
Payment for purchase of property, plant and equipment |
(2,209 | ) | (2,619 | ) | (31 | ) | ||||||
Proceeds from disposal of property, plant and equipment, including advances |
1,030 | 36 | ^ | |||||||||
Payment for purchase of investments |
(269,072 | ) | (197,618 | ) | (2,372 | ) | ||||||
Proceeds from sale of investments |
239,800 | 157,683 | 1,892 | |||||||||
Payment into escrow and term deposits pertaining to Buyback |
(15,230 | ) | | | ||||||||
Interest received |
6,869 | 6,468 | 78 | |||||||||
Dividend received |
1 | | | |||||||||
|
|
|
|
|
|
|||||||
Net cash used in investing activities |
(38,811 | ) | (36,050 | ) | (433 | ) | ||||||
|
|
|
|
|
|
|||||||
Cash flows from financing activities: |
||||||||||||
Proceeds from issuance of equity shares and shares pending allotment |
2 | 10 | ^ | |||||||||
Repayment of loans and borrowings |
(15,000 | ) | (20,750 | ) | (249 | ) | ||||||
Proceeds from loans and borrowings |
15,000 | 23,750 | 285 | |||||||||
Payment of lease liabilities |
(2,399 | ) | (2,547 | ) | (31 | ) | ||||||
Payment for contingent consideration |
(1,286 | ) | | | ||||||||
Interest and finance expenses paid |
(2,626 | ) | (2,247 | ) | (27 | ) | ||||||
Payment for transaction costs related to Buyback |
(201 | ) | | | ||||||||
|
|
|
|
|
|
|||||||
Net cash used in financing activities |
(6,510 | ) | (1,784 | ) | (22 | ) | ||||||
|
|
|
|
|
|
|||||||
Net increase/(decrease) in cash and cash equivalents during the period |
(7,808 | ) | 2,125 | 26 | ||||||||
Effect of exchange rate changes on cash and cash equivalents |
(461 | ) | (792 | ) | (10 | ) | ||||||
Cash and cash equivalents at the beginning of the period |
91,861 | 96,951 | 1,163 | |||||||||
|
|
|
|
|
|
|||||||
Cash and cash equivalents at the end of the period (Note 9) |
83,592 | 98,284 | 1,179 | |||||||||
|
|
|
|
|
|
|||||||
^ Value is less than 0.5 |
The accompanying notes form an integral part of these interim condensed consolidated financial statements
As per our report of even date attached | For and on behalf of the Board of Directors | |||||
for Deloitte Haskins & Sells LLP | Rishad A. Premji | Deepak M. Satwalekar | Srinivas Pallia | |||
Chartered Accountants | Chairman | Director | Chief Executive Officer and | |||
Firms Registration No: 117366W/W100018 | Managing Director | |||||
Anand Subramanian | Aparna C. Iyer | M. Sanaulla Khan | ||||
Partner | Chief Financial Officer | Company Secretary | ||||
Membership No.: 110815 | ||||||
Bengaluru | ||||||
July 19, 2024 |
6
WIPRO LIMITED AND SUBSIDIARIES
NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(₹ in millions, except share and per share data, unless otherwise stated)
1. The Company overview
Wipro Limited (Wipro or the Parent Company), together with its subsidiaries and controlled trusts (collectively, we, us, our, the Company or the Group) is a global information technology (IT), consulting and business process services (BPS) company.
Wipro is a public limited company incorporated and domiciled in India. The address of its registered office is Wipro Limited, Doddakannelli, Sarjapur Road, Bengaluru 560 035, Karnataka, India. The Company has its primary listing with BSE Ltd. and National Stock Exchange of India Limited. The Companys American Depository Shares (ADS) representing equity shares are also listed on the New York Stock Exchange.
The Companys Board of Directors authorized these interim condensed consolidated financial statements for issue on July 19, 2024.
2. Basis of preparation of interim condensed consolidated financial statements
(i) Statement of compliance and basis of preparation
These interim condensed consolidated financial statements have been prepared in compliance with IAS 34, Interim Financial Reporting, as issued by the International Accounting Standards Board (IASB). Selected explanatory notes are included to explain events and transactions that are significant to understand the changes in financial position and performance of the Company since the last annual consolidated financial statements as at and for the year ended March 31, 2024. These interim condensed consolidated financial statements do not include all the information required for full annual financial statements prepared in accordance with International Financial Reporting Standards and its interpretations (IFRS).
The interim condensed consolidated financial statements correspond to the classification provisions contained in IAS 1 (revised), Presentation of Financial Statements. For clarity, various items are aggregated in the interim condensed consolidated statements of income, interim condensed consolidated statements of comprehensive income and interim condensed consolidated statements of financial position. These items are disaggregated separately in the notes to the interim condensed consolidated financial statements, where applicable. The accounting policies have been consistently applied to all periods presented in these interim condensed consolidated financial statements except for new accounting standards, amendments and interpretations adopted by the Company effective from April 1, 2024.
All amounts included in the interim condensed consolidated financial statements are reported in millions of Indian rupees (₹ in millions) except share and per share data, unless otherwise stated. Due to rounding off, the numbers presented throughout the document may not add up precisely to the totals and percentages may not precisely reflect the absolute figures. Previous period figures have been regrouped/rearranged, wherever necessary.
(ii) Basis of measurement
These interim condensed consolidated financial statements have been prepared on a historical cost convention and on an accrual basis, except for the following material items which have been measured at fair value as required by relevant IFRS:
a. | Derivative financial instruments; |
b. | Financial instruments classified as fair value through other comprehensive income or fair value through profit or loss; |
c. | The defined benefit liability/(asset) is recognized as the present value of defined benefit obligation less fair value of plan assets; and |
d. | Contingent consideration and liability on written put options. |
(iii) Convenience translation (unaudited)
The accompanying interim condensed consolidated financial statements have been prepared and reported in Indian rupees, the functional currency of the Parent Company. Solely for the convenience of the readers, the interim condensed consolidated financial statements as at and for the three months ended June 30, 2024, have been translated into United States dollars at the certified foreign exchange rate of US$1 = ₹ 83.33 as published by Federal Reserve Board of Governors on June 30, 2024. No representation is made that the Indian rupee amounts have been, could have been or could be converted into United States dollars at such a rate or any other rate. Due to rounding off, the translated numbers presented throughout the document may not add up precisely to the totals.
(iv) Use of estimates and judgment
The preparation of the interim condensed consolidated financial statements in conformity with IFRS requires the management to make judgments, accounting estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Accounting estimates are monetary amounts in the interim condensed consolidated financial statements that are subject to measurement uncertainty. An accounting policy may require items in the interim condensed consolidated financial statements to be measured at monetary amounts that cannot be observed directly and must instead be estimated. In such a case, management develops an accounting estimate to achieve the objective set out by the accounting policy. Developing accounting estimates involves the use of judgements or assumptions based on the latest available and reliable information. Actual results may differ from those accounting estimates.
7
Accounting estimates and underlying assumptions are reviewed on an ongoing basis. Changes to accounting estimates are recognized in the period in which the estimates are changed and in any future periods affected. In particular, information about material areas of estimation, uncertainty and critical judgments in applying accounting policies that have material effect on the amounts recognized in the interim condensed consolidated financial statements are included in the following notes:
a) | Revenue recognition: The Company applies judgement to determine whether each product or service promised to a customer is capable of being distinct, and is distinct in the context of the contract, if not, the promised product or service is combined and accounted as a single performance obligation. Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration the Company expects to receive (the Transaction Price). The Company allocates the Transaction Price to separately identifiable performance obligation deliverables based on their relative stand-alone selling price. In cases where the Company is unable to determine the stand-alone selling price, the Company uses expected cost-plus margin approach in estimating the stand-alone selling price. The Company uses the percentage of completion method using the input (cost expended) method to measure progress towards completion in respect of fixed price contracts. Percentage of completion method accounting relies on estimates of total expected contract revenue and costs. This method is followed when reasonably dependable estimates of the revenues and costs applicable to various elements of the contract can be made. Key factors that are reviewed in estimating the future costs to complete include estimates of future labor costs and productivity efficiencies. Because the financial reporting of these contracts depends on estimates that are assessed continually during the term of these contracts, revenue recognized, profit and timing of revenue for remaining performance obligations are subject to revisions as the contract progresses to completion. When estimates indicate that a loss will be incurred, the loss is provided for in the period in which the loss becomes probable. Volume discounts are recorded as a reduction of revenue. When the amount of discount varies with the levels of revenue, volume discount is recorded based on estimate of future revenue from the customer. |
b) | Impairment testing: Goodwill recognized on business combination is tested for impairment at least annually and when events occur or changes in circumstances indicate that the recoverable amount of goodwill or a cash generating unit to which goodwill pertains, is less than the carrying value. The Company assesses acquired intangible assets with finite useful life for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The recoverable amount of an asset or a cash generating unit is higher of value-in-use and fair value less cost of disposal. The calculation of value in use of an asset or a cash generating unit involves use of significant estimates and assumptions which include turnover, growth rates and net margins used to calculate projected future cash flows, risk-adjusted discount rate, future economic and market conditions. |
c) | Income taxes: The major tax jurisdictions for the Company are India and the United States of America. |
Significant judgments are involved in determining the provision for income taxes including judgment on whether tax positions are probable of being sustained in tax assessments. A tax assessment can involve complex issues, which can only be resolved over extended time periods.
Deferred tax is recorded on temporary differences between the tax bases of assets and liabilities and their carrying amounts, at the rates that have been enacted or substantively enacted at the reporting date. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable profits during the periods in which those temporary differences and tax loss carry-forwards become deductible. The Company considers expected reversal of deferred tax liabilities and projected future taxable income in making this assessment. The amount of deferred tax assets considered realizable, however, could reduce in the near term if estimates of future taxable income during the carry-forward period are reduced.
d) | Business combinations: In accounting for business combinations, judgment is required to assess whether an identifiable intangible asset is to be recorded separately from goodwill. Additionally, estimating the acquisition date fair value of the identifiable assets acquired (including useful life estimates), liabilities assumed, and contingent consideration assumed involves management judgment. These measurements are based on information available at the acquisition date and are based on expectations and assumptions that have been deemed reasonable by management. Changes in these judgments, estimates, and assumptions can materially affect the results of operations. |
e) | Defined benefit plans and compensated absences: The cost of the defined benefit plans, compensated absences and the present value of the defined benefit obligations are based on actuarial valuation using the projected unit credit method. An actuarial valuation involves making various assumptions that may differ from actual developments in the future. These include the determination of the discount rate, future salary increases and mortality rates. Due to the complexities involved in the valuation and its long-term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting date. |
f) | Expected credit losses on financial assets: The impairment provisions of financial assets are based on assumptions about risk of default and expected timing of collection. The Company uses judgment in making these assumptions and selecting the inputs to the expected credit loss calculation based on the Companys history of collections, customers creditworthiness, existing market conditions as well as forward looking estimates at the end of each reporting period. |
g) | Useful lives of property, plant and equipment: The Company depreciates property, plant and equipment on a straight-line basis over estimated useful lives of the assets. The charge in respect of periodic depreciation is derived based on an estimate of an assets expected useful life and the expected residual value at the end of its life. The lives are based on historical experience with similar assets as well as anticipation of future events, which may impact their life, such as changes in technology. The estimated useful life is reviewed at least annually. |
h) | Useful lives of intangible assets: The Company amortizes intangible assets on a straight-line basis over estimated useful lives of the assets. The useful life is estimated based on a number of factors including the effects of obsolescence, demand, competition and other economic factors such as the stability of the industry and known technological advances and the level of maintenance expenditures required to obtain the expected future cash flows from the assets. The estimated useful life is reviewed at least annually. |
8
i) | Provisions and contingent liabilities: The Company estimates the provisions that have present obligations as a result of past events and it is probable that outflow of resources will be required to settle the obligations. These provisions are reviewed at the end of each reporting date and are adjusted to reflect the current best estimates. |
The Company uses significant judgement to disclose contingent liabilities. Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount cannot be made. Contingent assets are neither recognized nor disclosed in the financial statements.
3. Material accounting policy information
Please refer to the Companys Annual report for the year ended March 31, 2024, for a discussion of the Companys other material accounting policy information except for new accounting standards, amendments and interpretations adopted by the Company effective on or after April 1, 2024.
i. | New amendments not yet adopted: |
Certain new standards, amendments to standards and interpretations are not yet effective for annual periods beginning after April 1, 2024 and have not been applied in preparing these interim condensed consolidated financial statements. New standards, amendments to standards and interpretations that could have potential impact on the interim condensed consolidated financial statements of the Company are:
Amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates
On August 15, 2023, IASB issued Lack of Exchangeability (Amendments to IAS 21) that clarifies how an entity should assess whether a currency is exchangeable and how it should determine a spot exchange rate when exchangeability is lacking, as well as require the disclosure of information that enables users of financial statements to understand the impact of a currency not being exchangeable. These amendments are effective for annual reporting periods beginning on or after January 1, 2025, with earlier application permitted. The adoption of amendments to IAS 21 is not expected to have any material impact on the interim condensed consolidated financial statements.
IFRS 18 Presentation and Disclosure in Financial Statements
On April 9, 2024, IASB issued IFRS 18 Presentation and Disclosure in Financial Statements which supersedes IAS 1 Presentation of Financial Statements, aimed at improving comparability and transparency of communication in financial statements. IFRS 18 requires an entity to classify all income and expenses within its statement of profit or loss into one of five categories: operating, investing, financing, income taxes and discontinued operations. These categories are complemented by the requirement to present specified totals and subtotals for operating profit or loss, profit or loss before financing and income taxes and profit or loss. It also requires disclosure of management-defined performance measures and includes new requirements for aggregation and disaggregation of financials information based on the identified roles of the primary financial statements and the notes.
Consequent to above, a narrow-scope amendments have been made to IAS 7 Statement of Cash Flows, which include changing the starting point for determining cash flows from operations under the indirect method from profit or loss to operating profit or loss. Further, some requirements previously included within IAS 1 have been moved to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors which has also been renamed IAS 8 Basis of Preparation of Financial Statements. IAS 34 Interim Financial Reporting was amended to require disclosure of management defined performance measures. Minor consequential amendments to other standards were also made.
An entity that prepares condensed interim financial statements in accordance with IAS 34 in the first year of adoption of IFRS 18, must present the heading and mandatory subtotals it expects to use in its annual financial statement. Comparative period in both the interim and annual financial statements will need to be restated and a reconciliation of the statement of profit or loss previously published will be required for the immediately preceding comparative period. IFRS 18 and the amendments to the other standards, is effective for reporting period beginning on or after January 1, 2027 and are to be applied retrospectively, with earlier application permitted.
The Company is currently assessing the impact of adopting IFRS 18 and the amendments to other standards, on the interim condensed consolidated financial statements.
9
IFRS 19 Subsidiaries without Public Accountability: Disclosures
On May 9, 2024, IASB issued IFRS 19 Subsidiaries without Public accountability: Disclosures which specifies the disclosure requirements an entity is permitted to apply instead of the disclosure requirements in other IFRS Accounting Standards. The standard allows a subsidiary which does not have public accountability and has an ultimate or intermediate parent that produces consolidated financial statements available for public use that comply with IFRS Accounting Standards, to elect IFRS 19. The Company is currently assessing the impact of adopting IFRS 19 on the interim condensed consolidated financial statements.
Amendments to IFRS 9 and IFRS 7 Classification and Measurement of Financial Instruments
On May 30, 2024, IASB issued Classification and Measurement of Financial Instruments (Amendments to IFRS 9 and IFRS 7) to address matters identified during the post-implementation review of IFRS 9. The amendments relate to derecognition of a financial liability settled through electronic transfer, classification of financial assets and disclosures of certain financial assets and financial liabilities. These amendments are effective for annual reporting periods beginning on or after January 1, 2026, with earlier application permitted. The Company is currently assessing the impact of adopting these amendments on the interim condensed consolidated financial statements.
10
4. Property, plant and equipment
Land | Buildings | Plant and equipment (1) |
Furniture and fixtures |
Office equipment |
Vehicles | Total | ||||||||||||||||||||||
Gross carrying value: |
||||||||||||||||||||||||||||
As at April 1, 2023 |
₹ | 4,860 | ₹ | 47,700 | ₹ | 117,732 | ₹ | 18,086 | ₹ | 7,818 | ₹ | 161 | ₹ | 196,357 | ||||||||||||||
Additions |
| 97 | 1,176 | 446 | 60 | 1 | 1,780 | |||||||||||||||||||||
Disposals |
| (1 | ) | (3,661 | ) | (38 | ) | (1 | ) | | (3,701 | ) | ||||||||||||||||
Translation adjustment |
(1 | ) | 26 | (16 | ) | (6 | ) | (14 | ) | 1 | (10 | ) | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
As at June 30, 2023 |
₹ | 4,859 | ₹ | 47,822 | ₹ | 115,231 | ₹ | 18,488 | ₹ | 7,863 | ₹ | 163 | ₹ | 194,426 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Accumulated depreciation/ impairment: |
|
|||||||||||||||||||||||||||
As at April 1, 2023 |
₹ | | ₹ | 10,927 | ₹ | 85,501 | ₹ | 11,520 | ₹ | 5,928 | ₹ | 145 | ₹ | 114,021 | ||||||||||||||
Depreciation and impairment |
| 358 | 2,993 | 532 | 162 | 2 | 4,047 | |||||||||||||||||||||
Disposals |
| (1 | ) | (3,312 | ) | (26 | ) | (1 | ) | | (3,340 | ) | ||||||||||||||||
Translation adjustment |
| 13 | (14 | ) | | (9 | ) | 1 | (9 | ) | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
As at June 30, 2023 |
₹ | | ₹ | 11,297 | ₹ | 85,168 | ₹ | 12,026 | ₹ | 6,080 | ₹ | 148 | ₹ | 114,719 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net carrying value as at June 30, 2023 |
₹ | 4,859 | ₹ | 36,525 | ₹ | 30,063 | ₹ | 6,462 | ₹ | 1,783 | ₹ | 15 | ₹ | 79,707 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Capital work-in-progress |
₹ | 6,757 | ||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Net carrying value including Capital work-in-progress as at June 30, 2023 |
|
₹ | 86,464 | |||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Gross carrying value: |
||||||||||||||||||||||||||||
As at April 1, 2023 |
₹ | 4,860 | ₹ | 47,700 | ₹ | 117,732 | ₹ | 18,086 | ₹ | 7,818 | ₹ | 161 | ₹ | 196,357 | ||||||||||||||
Additions |
| 428 | 6,975 | 1,716 | 354 | 3 | 9,476 | |||||||||||||||||||||
Additions through Business combinations |
| | 373 | | 1 | | 374 | |||||||||||||||||||||
Disposals |
(486 | ) | (1,174 | ) | (22,815 | ) | (1,586 | ) | (663 | ) | (131 | ) | (26,855 | ) | ||||||||||||||
Translation adjustment |
1 | 70 | 248 | 17 | 4 | 1 | 341 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
As at March 31, 2024 |
₹ | 4,375 | ₹ | 47,024 | ₹ | 102,513 | ₹ | 18,233 | ₹ | 7,514 | ₹ | 34 | ₹ | 179,693 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Accumulated depreciation/ impairment: |
|
|||||||||||||||||||||||||||
As at April 1, 2023 |
₹ | | ₹ | 10,927 | ₹ | 85,501 | ₹ | 11,520 | ₹ | 5,928 | ₹ | 145 | ₹ | 114,021 | ||||||||||||||
Depreciation and impairment |
| 1,490 | 11,856 | 2,193 | 638 | 7 | 16,184 | |||||||||||||||||||||
Disposals |
| (683 | ) | (22,019 | ) | (1,444 | ) | (639 | ) | (130 | ) | (24,915 | ) | |||||||||||||||
Translation adjustment |
| 41 | 211 | 18 | 5 | ^ | 275 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
As at March 31, 2024 |
₹ | | ₹ | 11,775 | ₹ | 75,549 | ₹ | 12,287 | ₹ | 5,932 | ₹ | 22 | ₹ | 105,565 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net carrying value as at March 31, 2024 |
₹ | 4,375 | ₹ | 35,249 | ₹ | 26,964 | ₹ | 5,946 | ₹ | 1,582 | ₹ | 12 | ₹ | 74,128 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Capital work-in-progress |
₹ | 7,480 | ||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Net carrying value including Capital work-in-progress as at March 31, 2024 |
|
₹ | 81,608 | |||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Gross carrying value: |
||||||||||||||||||||||||||||
As at April 1, 2024 |
₹ | 4,375 | ₹ | 47,024 | ₹ | 102,513 | ₹ | 18,233 | ₹ | 7,514 | ₹ | 34 | ₹ | 179,693 | ||||||||||||||
Additions |
| | 1,190 | 187 | 41 | 4 | 1,422 | |||||||||||||||||||||
Disposals |
| (9 | ) | (2,199 | ) | (119 | ) | (89 | ) | ^ | (2,416 | ) | ||||||||||||||||
Translation adjustment |
(1 | ) | (65 | ) | (403 | ) | (51 | ) | (30 | ) | (1 | ) | (551 | ) | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
As at June 30, 2024 |
₹ | 4,374 | ₹ | 46,950 | ₹ | 101,101 | ₹ | 18,250 | ₹ | 7,436 | ₹ | 37 | ₹ | 178,148 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Accumulated depreciation/ impairment: |
|
|||||||||||||||||||||||||||
As at April 1, 2024 |
₹ | | ₹ | 11,775 | ₹ | 75,549 | ₹ | 12,287 | ₹ | 5,932 | ₹ | 22 | ₹ | 105,565 | ||||||||||||||
Depreciation and impairment |
| 380 | 2,937 | 542 | 148 | 1 | 4,008 | |||||||||||||||||||||
Disposals |
| (7 | ) | (2,151 | ) | (103 | ) | (75 | ) | ^ | (2,336 | ) | ||||||||||||||||
Translation adjustment |
| (48 | ) | (329 | ) | (29 | ) | (23 | ) | (1 | ) | (430 | ) | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
As at June 30, 2024 |
₹ | | ₹ | 12,100 | ₹ | 76,006 | ₹ | 12,697 | ₹ | 5,982 | ₹ | 22 | ₹ | 106,807 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net carrying value as at June 30, 2024 |
₹ | 4,374 | ₹ | 34,850 | ₹ | 25,095 | ₹ | 5,553 | ₹ | 1,454 | ₹ | 15 | ₹ | 71,341 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Capital work-in-progress |
₹ | 8,616 | ||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||
Net carrying value including Capital work-in-progress as at June 30, 2024 |
|
₹ | 79,957 | |||||||||||||||||||||||||
|
|
^ | Value is less than 0.5 |
(1) | Including net carrying value of computer equipment and software amounting to ₹ 20,495, ₹ 17,553 and ₹ 15,907, as at June 30, 2023, March 31, 2024 and June 30, 2024, respectively. |
11
5. Right-of-Use assets
Category of Right-of-Use asset |
|
|||||||||||||||||||
Land | Buildings | Plant and equipment (1) |
Vehicles | Total | ||||||||||||||||
Gross carrying value: |
||||||||||||||||||||
As at April 1, 2023 |
₹ | 1,278 | ₹ | 27,946 | ₹ | 2,580 | ₹ | 865 | ₹ | 32,669 | ||||||||||
Additions |
| 1,520 | | 64 | 1,584 | |||||||||||||||
Disposals |
| (934 | ) | (367 | ) | (42 | ) | (1,343 | ) | |||||||||||
Translation adjustment |
| (20 | ) | 6 | (3 | ) | (17 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
As at June 30, 2023 |
₹ | 1,278 | ₹ | 28,512 | ₹ | 2,219 | ₹ | 884 | ₹ | 32,893 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Accumulated depreciation: |
||||||||||||||||||||
As at April 1, 2023 |
₹ | 77 | ₹ | 12,127 | ₹ | 1,192 | ₹ | 571 | ₹ | 13,967 | ||||||||||
Depreciation |
5 | 1,361 | 109 | 48 | 1,523 | |||||||||||||||
Disposals |
| (706 | ) | (292 | ) | (35 | ) | (1,033 | ) | |||||||||||
Translation adjustment |
| (10 | ) | | (2 | ) | (12 | ) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
As at June 30, 2023 |
₹ | 82 | ₹ | 12,772 | ₹ | 1,009 | ₹ | 582 | ₹ | 14,445 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net carrying value as at June 30, 2023 |
₹ | 1,196 | ₹ | 15,740 | ₹ | 1,210 | ₹ | 302 | ₹ | 18,448 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Gross carrying value: |
||||||||||||||||||||
As at April 1, 2023 |
₹ | 1,278 | ₹ | 27,946 | ₹ | 2,580 | ₹ | 865 | ₹ | 32,669 | ||||||||||
Additions |
65 | 6,505 | 264 | 251 | 7,085 | |||||||||||||||
Additions through Business combination |
| 33 | | | 33 | |||||||||||||||
Disposals |
| (6,203 | ) | (636 | ) | (271 | ) | (7,110 | ) | |||||||||||
Translation adjustment |
| 172 | 34 | 4 | 210 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
As at March 31, 2024 |
₹ | 1,343 | ₹ |
28,453 |
|
₹ | 2,242 | ₹ | 849 | ₹ | 32,887 | |||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Accumulated depreciation: |
||||||||||||||||||||
As at April 1, 2023 |
₹ | 77 | ₹ | 12,127 | ₹ | 1,192 | ₹ | 571 | ₹ | 13,967 | ||||||||||
Depreciation |
21 | 5,485 | 444 | 181 | 6,131 | |||||||||||||||
Disposals |
| (4,439 | ) | (561 | ) | (244 | ) | (5,244 | ) | |||||||||||
Translation adjustment |
| 64 | 11 | 3 | 78 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
As at March 31, 2024 |
₹ | 98 | ₹ | 13,237 | ₹ | 1,086 | ₹ | 511 | ₹ | 14,932 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net carrying value as at March 31, 2024 |
₹ | 1,245 | ₹ | 15,216 | ₹ | 1,156 | ₹ | 338 | ₹ | 17,955 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Gross carrying value: |
||||||||||||||||||||
As at April 1, 2024 |
₹ | 1,343 | ₹ | 28,453 | ₹ | 2,242 | ₹ | 849 | ₹ | 32,887 | ||||||||||
Additions |
| 3,192 | | 34 | 3,226 | |||||||||||||||
Disposals |
| (1,648 | ) | (2 | ) | (44 | ) | (1,694 | ) | |||||||||||
Translation adjustment |
| (222 | ) | (4 | ) | (7 | ) | (233 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
As at June 30, 2024 |
₹ | 1,343 | ₹ | 29,775 | ₹ | 2,236 | ₹ | 832 | ₹ | 34,186 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Accumulated depreciation: |
||||||||||||||||||||
As at April 1, 2024 |
₹ | 98 | ₹ | 13,237 | ₹ | 1,086 | ₹ | 511 | ₹ | 14,932 | ||||||||||
Depreciation |
5 | 1,340 | 112 | 42 | 1,499 | |||||||||||||||
Disposals |
| (1,328 | ) | (2 | ) | (43 | ) | (1,373 | ) | |||||||||||
Translation adjustment |
| (97 | ) | (4 | ) | (4 | ) | (105 | ) | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
As at June 30, 2024 |
₹ | 103 | ₹ | 13,152 | ₹ | 1,192 | ₹ | 506 | ₹ | 14,953 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Net carrying value as at June 30, 2024 |
₹ | 1,240 | ₹ | 16,623 | ₹ | 1,044 | ₹ | 326 | ₹ | 19,233 | ||||||||||
|
|
|
|
|
|
|
|
|
|
(1) | Including net carrying value of computer equipment amounting to ₹ 4, ₹ 2 and ₹ 2 as at June 30, 2023, March 31, 2024 and June 30, 2024, respectively. |
6. Goodwill and intangible assets
The movement in goodwill balance is given below:
As at | ||||||||
March 31, 2024 | June 30, 2024 | |||||||
Balance at the beginning of the period |
₹ | 307,970 | ₹ | 316,002 | ||||
Translation adjustment |
4,206 | 52 | ||||||
Acquisition through Business combinations(1) |
4,314 | | ||||||
Disposals |
(488 | ) | | |||||
|
|
|
|
|||||
Balance at the end of the period |
₹ | 316,002 | ₹ | 316,054 | ||||
|
|
|
|
(1) | Acquisition through business combination for the year ended March 31, 2024 is after considering the impact of ₹ (503) towards measurement period changes in purchase price allocation of acquisitions made during the year ended March 31, 2023. |
12
The movement in intangible assets is given below:
Intangible assets | ||||||||||||
Customer-related | Marketing-related | Total | ||||||||||
Gross carrying value: |
||||||||||||
As at April 1, 2023 |
₹ | 49,813 | ₹ | 11,924 | ₹ | 61,737 | ||||||
Translation adjustment |
(98 | ) | (25 | ) | (123 | ) | ||||||
|
|
|
|
|
|
|||||||
As at June 30, 2023 |
₹ | 49,715 | ₹ | 11,899 | ₹ | 61,614 | ||||||
|
|
|
|
|
|
|||||||
Accumulated amortization/ impairment: |
||||||||||||
As at April 1, 2023 |
₹ | 15,417 | ₹ | 3,275 | ₹ | 18,692 | ||||||
Amortization and impairment |
1,420 | 390 | 1,810 | |||||||||
Translation adjustment |
(34 | ) | (9 | ) | (43 | ) | ||||||
|
|
|
|
|
|
|||||||
As at June 30, 2023 |
₹ | 16,803 | ₹ | 3,656 | ₹ | 20,459 | ||||||
|
|
|
|
|
|
|||||||
Net carrying value as at June 30, 2023 |
₹ | 32,912 | ₹ | 8,243 | ₹ | 41,155 | ||||||
|
|
|
|
|
|
|||||||
Gross carrying value: |
||||||||||||
As at April 1, 2023 |
₹ | 49,813 | ₹ | 11,924 | ₹ | 61,737 | ||||||
Acquisition through Business combination |
556 | 390 | 946 | |||||||||
Deductions/adjustments |
(7,306 | ) | (505 | ) | (7,811 | ) | ||||||
Translation adjustment |
609 | 163 | 772 | |||||||||
|
|
|
|
|
|
|||||||
As at March 31, 2024 |
₹ | 43,672 | ₹ | 11,972 | ₹ | 55,644 | ||||||
|
|
|
|
|
|
|||||||
Accumulated amortization/ impairment: |
||||||||||||
As at April 1, 2023 |
₹ | 15,417 | ₹ | 3,275 | ₹ | 18,692 | ||||||
Amortization and impairment (1) (2) |
9,961 | 1,795 | 11,756 | |||||||||
Deductions/adjustments |
(7,306 | ) | (505 | ) | (7,811 | ) | ||||||
Translation adjustment |
209 | 50 | 259 | |||||||||
|
|
|
|
|
|
|||||||
As at March 31, 2024 |
₹ | 18,281 | ₹ | 4,615 | ₹ | 22,896 | ||||||
|
|
|
|
|
|
|||||||
Net carrying value as at March 31, 2024 |
₹ | 25,391 | ₹ | 7,357 | ₹ | 32,748 | ||||||
|
|
|
|
|
|
|||||||
Gross carrying value: |
||||||||||||
As at April 1, 2024 |
₹ | 43,672 | ₹ | 11,972 | ₹ | 55,644 | ||||||
Deductions/adjustments |
| (125 | ) | (125 | ) | |||||||
Translation adjustment |
30 | 8 | 38 | |||||||||
|
|
|
|
|
|
|||||||
As at June 30, 2024 |
₹ | 43,702 | ₹ | 11,855 | ₹ | 55,557 | ||||||
|
|
|
|
|
|
|||||||
Accumulated amortization/ impairment: |
||||||||||||
As at April 1, 2024 |
₹ | 18,281 | ₹ | 4,615 | ₹ | 22,896 | ||||||
Amortization and impairment |
1,386 | 396 | 1,782 | |||||||||
Deductions/adjustments |
| (125 | ) | (125 | ) | |||||||
Translation adjustment |
25 | 8 | 33 | |||||||||
|
|
|
|
|
|
|||||||
As at June 30, 2024 |
₹ | 19,692 | ₹ | 4,894 | ₹ | 24,586 | ||||||
|
|
|
|
|
|
|||||||
Net carrying value as at June 30, 2024 |
₹ | 24,010 | ₹ | 6,961 | ₹ | 30,971 | ||||||
|
|
|
|
|
|
(1) | During the year ended March 31, 2024, a decline in the revenue and earnings estimates led to revision of recoverable value of customer-relationship intangible assets and marketing related intangible assets recognized on business combinations. Consequently, the Company has recognized impairment charge of ₹ 1,701 for the year ended March 31, 2024, as part of amortization and impairment. |
(2) | Due to change in our estimate of useful life of customer-related intangibles in an earlier business combination, the Company has recognized additional amortization charge of ₹ 2,807 for the year ended March 31, 2024, as part of amortization and impairment. |
Amortization expense on intangible assets is included in selling and marketing expenses in the interim condensed consolidated statement of income.
13
7. Investments
As at | ||||||||
March 31, 2024 | June 30, 2024 | |||||||
Non-current |
||||||||
Financial instruments at FVTPL |
||||||||
Equity instruments (1) |
₹ | 4,404 | ₹ | 4,354 | ||||
Fixed maturity plan mutual funds |
1,395 | 1,136 | ||||||
Financial instruments at FVTOCI |
||||||||
Equity instruments (1) |
15,830 | 15,772 | ||||||
Financial instruments at amortized cost |
||||||||
Inter corporate and term deposits |
^ | ^ | ||||||
|
|
|
|
|||||
₹ | 21,629 | ₹ | 21,262 | |||||
|
|
|
|
|||||
Current |
||||||||
Financial instruments at FVTPL |
||||||||
Short-term mutual funds (2) |
₹ | 71,686 | ₹ | 100,056 | ||||
Fixed maturity plan mutual funds |
| 285 | ||||||
Financial instruments at FVTOCI |
||||||||
Non-convertible debentures |
154,407 | 177,004 | ||||||
Government securities |
7,030 | 7,078 | ||||||
Commercial papers |
11,845 | 7,195 | ||||||
Bonds |
28,195 | 23,787 | ||||||
Financial instruments at amortized cost |
||||||||
Inter corporate and term deposits (3) |
38,008 | 36,512 | ||||||
|
|
|
|
|||||
₹ | 311,171 | ₹ | 351,917 | |||||
|
|
|
|
|||||
₹ | 332,800 | ₹ | 373,179 | |||||
|
|
|
|
|||||
Financial instruments at FVTPL |
₹ | 77,485 | ₹ | 105,831 | ||||
Financial instruments at FVTOCI |
217,307 | 230,836 | ||||||
Financial instruments at amortized cost |
38,008 | 36,512 |
^ | Value is less than 0.5 |
(1) | Uncalled capital commitments outstanding as at March 31, 2024 and June 30, 2024, was ₹ 1,450 and ₹ 1,934, respectively. |
(2) | As at March 31, 2024 and June 30, 2024, short-term mutual funds include units lien with bank on account of margin money for currency derivatives amounting to ₹ 218 and ₹ 222, respectively. |
(3) | These deposits earn a fixed rate of interest. As at March 31, 2024 and June 30, 2024, term deposits include current deposits in lien with banks, held as margin money deposits against guarantees amounting to ₹ 117 and ₹ 73, respectively. |
8. Inventories
As at | ||||||||
March 31, 2024 | June 30, 2024 | |||||||
Stores and spare parts |
₹ | 27 | ₹ | 30 | ||||
Traded goods |
880 | 882 | ||||||
|
|
|
|
|||||
₹ | 907 | ₹ | 912 | |||||
|
|
|
|
9. Cash and cash equivalents
As at | ||||||||
March 31, 2024 |
June 30, 2024 |
|||||||
Cash and bank balances |
₹ | 60,648 | ₹ | 62,681 | ||||
Demand deposits with banks (1) |
36,305 | 35,623 | ||||||
|
|
|
|
|||||
₹ | 96,953 | ₹ | 98,304 | |||||
|
|
|
|
(1) | These deposits can be withdrawn by the Company at any time without prior notice and without any penalty on the principal. |
Cash and cash equivalents consist of the following for the purpose of the statement of cash flows:
As at | ||||||||
June 30, 2023 | June 30, 2024 | |||||||
Cash and cash equivalents |
₹ | 83,616 | ₹ | 98,304 | ||||
Bank overdrafts |
(24 | ) | (20 | ) | ||||
|
|
|
|
|||||
₹ | 83,592 | ₹ | 98,284 | |||||
|
|
|
|
14
10. Other financial assets
As at | ||||||||
March 31, 2024 |
June 30, 2024 |
|||||||
Non-current |
||||||||
Security deposits |
₹ | 1,221 | ₹ | 1,346 | ||||
Finance lease receivables |
4,270 | 3,911 | ||||||
Dues from officers and employees |
59 | 33 | ||||||
|
|
|
|
|||||
₹ | 5,550 | ₹ | 5,290 | |||||
|
|
|
|
|||||
Current |
||||||||
Security deposits |
₹ | 2,035 | ₹ | 1,921 | ||||
Dues from officers and employees |
596 | 547 | ||||||
Interest receivables |
230 | 576 | ||||||
Finance lease receivables |
5,307 | 5,314 | ||||||
Others |
2,368 | 692 | ||||||
|
|
|
|
|||||
₹ | 10,536 | ₹ | 9,050 | |||||
|
|
|
|
|||||
₹ | 16,086 | ₹ | 14,340 | |||||
|
|
|
|
11. Other assets
As at | ||||||||
March 31, 2024 | June 30, 2024 | |||||||
Non-current |
||||||||
Prepaid expenses |
₹ | 3,424 | ₹ | 2,863 | ||||
Costs to obtain contract (1) |
2,324 | 4,149 | ||||||
Costs to fulfil contract (2) |
205 | 190 | ||||||
Others |
4,378 | 4,454 | ||||||
|
|
|
|
|||||
₹ | 10,331 | ₹ | 11,656 | |||||
|
|
|
|
|||||
Current |
||||||||
Prepaid expenses |
₹ | 17,574 | ₹ | 18,809 | ||||
Dues from officers and employees |
343 | 464 | ||||||
Advance to suppliers |
3,267 | 1,806 | ||||||
Balance with GST and other authorities |
6,029 | 6,196 | ||||||
Costs to obtain contract (1) |
867 | 1,794 | ||||||
Costs to fulfil contract (2) |
60 | 60 | ||||||
Others |
1,462 | 1,698 | ||||||
|
|
|
|
|||||
₹ | 29,602 | ₹ | 30,827 | |||||
|
|
|
|
|||||
₹ | 39,933 | ₹ | 42,483 | |||||
|
|
|
|
(1) | Costs to obtain contract amortization of ₹ 328 and ₹ 264 during the three months ended June 30, 2023 and 2024 respectively. |
(2) | Costs to fulfil contract amortization of ₹ 15 and ₹ 15 during the three months ended June 30, 2023 and 2024 respectively. |
12. Loans, borrowings and bank overdrafts
As at | ||||||||
March 31, 2024 | June 30, 2024 | |||||||
Non-current |
||||||||
Unsecured Notes 2026 (1) |
₹ | 62,300 | ₹ | 62,317 | ||||
|
|
|
|
|||||
₹ | 62,300 | ₹ | 62,317 | |||||
|
|
|
|
|||||
Current |
||||||||
Borrowings from banks |
₹ | 79,164 | ₹ | 82,263 | ||||
Bank overdrafts |
2 | 20 | ||||||
|
|
|
|
|||||
₹ | 79,166 | ₹ | 82,283 | |||||
|
|
|
|
|||||
₹ | 141,466 | ₹ | 144,600 | |||||
|
|
|
|
(1) | On June 23, 2021, Wipro IT Services LLC, a wholly owned step-down subsidiary of Wipro Limited, issued US$ 750 million in unsecured notes 2026 (the Notes). The Notes bear interest at a rate of 1.50% per annum and will mature on June 23, 2026. Interest on the Notes is payable semi-annually on June 23 and December 23 of each year, commencing from December 23, 2021. The Notes are listed on Singapore Exchange Securities Trading Limited (SGX-ST). |
13. Trade payables and accrued expenses
As at | ||||||||
March 31, 2024 | June 30, 2024 | |||||||
Trade payables |
₹ | 23,275 | ₹ | 22,203 | ||||
Accrued expenses |
65,291 | 60,848 | ||||||
|
|
|
|
|||||
₹ | 88,566 | ₹ | 83,051 | |||||
|
|
|
|
15
14. Other financial liabilities
As at | ||||||||
March 31, 2024 |
June 30, 2024 |
|||||||
Non-current |
||||||||
Contingent consideration (Refer to Note 17) |
₹ | 429 | ₹ | | ||||
Liability on written put options to non-controlling interests (Refer to Note 17) |
4,303 | 4,366 | ||||||
Deposits and others |
253 | 1,381 | ||||||
|
|
|
|
|||||
₹ | 4,985 | ₹ | 5,747 | |||||
|
|
|
|
|||||
Current |
||||||||
Contingent consideration (Refer to Note 17) |
₹ | | ₹ | 434 | ||||
Advance from customers |
598 | 357 | ||||||
Cash settled ADS RSUs |
3 | | ||||||
Capital creditors |
333 | 287 | ||||||
Deposits and others |
1,338 | 1,747 | ||||||
|
|
|
|
|||||
₹ | 2,272 | ₹ | 2,825 | |||||
|
|
|
|
|||||
₹ | 7,257 | ₹ | 8,572 | |||||
|
|
|
|
15. Other liabilities
As at | ||||||||
March 31, 2024 |
June 30, 2024 |
|||||||
Non-current |
||||||||
Employee benefits obligations |
₹ | 4,219 | ₹ | 4,248 | ||||
Others |
8,751 | 9,631 | ||||||
|
|
|
|
|||||
₹ | 12,970 | ₹ | 13,879 | |||||
|
|
|
|
|||||
Current |
||||||||
Employee benefits obligations |
₹ | 16,057 | ₹ | 17,471 | ||||
Statutory and other liabilities |
13,275 | 14,050 | ||||||
Advance from customers |
1,192 | 1,451 | ||||||
Others |
771 | 771 | ||||||
|
|
|
|
|||||
₹ | 31,295 | ₹ | 33,743 | |||||
|
|
|
|
|||||
₹ | 44,265 | ₹ | 47,622 | |||||
|
|
|
|
16. Provisions
As at | ||||||||
March 31, 2024 | June 30, 2024 | |||||||
Current |
||||||||
Provision for onerous contracts |
₹ | 1,599 | ₹ | 1,517 | ||||
Provision for warranty |
217 | 200 | ||||||
Others |
155 | 154 | ||||||
|
|
|
|
|||||
₹ | 1,971 | ₹ | 1,871 | |||||
|
|
|
|
|||||
₹ | 1,971 | ₹ | 1,871 | |||||
|
|
|
|
17. | Financial instruments |
The carrying value of financial instruments by categories as at March 31, 2024 is as follows:
Fair value through profit or loss |
Fair value through other comprehensive income |
Amortized cost | Total | |||||||||||||||||
Mandatory | Designated upon initial recognition |
|||||||||||||||||||
Financial Assets: |
||||||||||||||||||||
Cash and cash equivalents (Refer to Note 9) |
₹ | | ₹ | | ₹ | | ₹ | 96,953 | ₹ | 96,953 | ||||||||||
Investments (Refer to Note 7) |
||||||||||||||||||||
Equity Instruments |
4,404 | | 15,830 | | 20,234 | |||||||||||||||
Fixed maturity plan mutual funds |
1,395 | | | | 1,395 | |||||||||||||||
Short-term mutual funds |
71,686 | | | | 71,686 | |||||||||||||||
Non-convertible debentures |
| 154,407 | | | 154,407 | |||||||||||||||
Government securities |
| 7,030 | | | 7,030 | |||||||||||||||
Commercial papers |
| 11,845 | | | 11,845 | |||||||||||||||
Bonds |
| 28,195 | | | 28,195 | |||||||||||||||
Inter corporate and term deposits |
| | | 38,008 | 38,008 | |||||||||||||||
Other financial assets |
||||||||||||||||||||
Trade receivables |
| | | 119,522 | 119,522 | |||||||||||||||
Unbilled receivables |
| | | 58,345 | 58,345 | |||||||||||||||
Other financial assets (Refer to Note 10) |
| | | 16,086 | 16,086 | |||||||||||||||
Derivative assets (Refer to Note 17) |
390 | | 968 | | 1,358 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
₹ | 77,875 | ₹ | 201,477 | ₹ | 16,798 | ₹ | 328,914 | ₹ | 625,064 | |||||||||||
|
|
|
|
|
|
|
|
|
|
16
Financial Liabilities: |
||||||||||||||||||||
Trade payables and other liabilities |
||||||||||||||||||||
Trade payables and accrued expenses (Refer to Note 13) |
₹ | | ₹ | | ₹ | | ₹ | 88,566 | ₹ | 88,566 | ||||||||||
Other financial liabilities (Refer to Note 14) |
| | | 7,257 | 7,257 | |||||||||||||||
Loans, borrowings and bank overdrafts (Refer to Note 12) |
| | | 141,466 | 141,466 | |||||||||||||||
Lease liabilities |
| | | 23,183 | 23,183 | |||||||||||||||
Derivative liabilities (Refer to Note 17) |
329 | | 233 | | 562 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
₹ | 329 | ₹ | | ₹ | 233 | ₹ | 260,472 | ₹ | 261,034 | |||||||||||
|
|
|
|
|
|
|
|
|
|
The carrying value of financial instruments by categories as at June 30, 2024 is as follows:
Fair value through profit or loss |
Fair value through other comprehensive income |
Amortized cost |
Total | |||||||||||||||||
Mandatory | Designated upon initial recognition |
|||||||||||||||||||
Financial Assets: |
||||||||||||||||||||
Cash and cash equivalents (Refer to Note 9) |
₹ | | ₹ | | ₹ | | ₹ | 98,304 | ₹ | 98,304 | ||||||||||
Investments (Refer to Note 7) |
||||||||||||||||||||
Equity Instruments |
4,354 | | 15,772 | | 20,126 | |||||||||||||||
Fixed maturity plan mutual funds |
1,421 | | | | 1,421 | |||||||||||||||
Short-term mutual funds |
100,056 | | | | 100,056 | |||||||||||||||
Non-convertible debentures |
| 177,004 | | | 177,004 | |||||||||||||||
Government securities |
| 7,078 | | | 7,078 | |||||||||||||||
Commercial papers |
| 7,195 | | | 7,195 | |||||||||||||||
Bonds |
| 23,787 | | | 23,787 | |||||||||||||||
Inter corporate and term deposits |
| | | 36,512 | 36,512 | |||||||||||||||
Other financial assets |
||||||||||||||||||||
Trade receivables |
| | | 114,655 | 114,655 | |||||||||||||||
Unbilled receivables |
| | | 61,720 | 61,720 | |||||||||||||||
Other financial assets (Refer to Note 10) |
| | | 14,340 | 14,340 | |||||||||||||||
Derivative assets (Refer to Note 17) |
124 | | 1,235 | | 1,359 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
₹ | 105,955 | ₹ | 215,064 | ₹ | 17,007 | ₹ | 325,531 | ₹ | 663,557 | |||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Financial Liabilities: |
||||||||||||||||||||
Trade payables and other liabilities |
||||||||||||||||||||
Trade payables and accrued expenses (Refer to Note 13) |
₹ | | ₹ | | ₹ | | ₹ | 83,051 | ₹ | 83,051 | ||||||||||
Other financial liabilities (Refer to Note 14) |
| | | 8,572 | 8,572 | |||||||||||||||
Loans, borrowings and bank overdrafts (Refer to Note 12) |
| | | 144,600 | 144,600 | |||||||||||||||
Lease liabilities |
| | | 24,306 | 24,306 | |||||||||||||||
Derivative liabilities (Refer to Note 17) |
98 | | 43 | | 141 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
₹ | 98 | ₹ | | ₹ | 43 | ₹ | 260,529 | ₹ | 260,670 | |||||||||||
|
|
|
|
|
|
|
|
|
|
Fair value:
Financial assets and liabilities include cash and cash equivalents, trade receivables, unbilled receivables, finance lease receivables, employee and other advances, eligible current and non-current assets, loans, borrowings and bank overdrafts, lease liabilities, trade payables and accrued expenses, and eligible current liabilities and non-current liabilities.
The fair value of cash and cash equivalents, trade receivables, unbilled receivables, short-term loans, borrowings and bank overdrafts, lease liabilities, trade payables and accrued expenses, other current financial assets and liabilities approximate their carrying amount largely due to the short-term nature of these instruments. Finance lease receivables are periodically evaluated based on individual credit worthiness of customers. Based on this evaluation, the Company records allowance for estimated credit losses on these receivables. As at March 31, 2024 and June 30, 2024, the carrying value of such financial assets, net of allowances, and liabilities, approximates the fair value.
The Companys Unsecured Notes 2026 are contracted at fixed coupon rate of 1.50% and market yield of Unsecured Notes 2026 as of June 30, 2024 is 5.38%
Investments in short-term mutual funds and fixed maturity plan mutual funds, which are classified as FVTPL are measured using net asset values at the reporting date multiplied by the quantity held. Fair value of investments in non-convertible debentures, government securities, commercial papers, certificate of deposit and bonds classified as FVTOCI is determined based on the indicative quotes of price and yields prevailing in the market at the reporting date. Fair value of investments in equity instruments classified as FVTOCI or FVTPL is determined using market approach primarily based on market multiples method.
The fair value of derivative financial instruments is determined based on observable market inputs including currency spot and forward rates, yield curves and currency volatility.
17
Fair value hierarchy
The table below analyses financial instruments carried at fair value, by valuation method. The different levels have been defined as follows:
Level 1 Quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2 Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).
Level 3 Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs).
There were no transfer between Level 1, 2 and 3 during the year ended March 31, 2024 and three months ended June 30, 2024.
The following table presents fair value hierarchy of assets and liabilities measured at fair value on a recurring basis:
As at | ||||||||||||||||||||||||||||||||
March 31, 2024 | June 30, 2024 | |||||||||||||||||||||||||||||||
Fair value measurements at reporting date | Fair value measurements at reporting date | |||||||||||||||||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||
Assets |
||||||||||||||||||||||||||||||||
Derivative instruments: |
||||||||||||||||||||||||||||||||
Cash flow hedges |
₹ | 968 | ₹ | | ₹ | 968 | ₹ | | ₹ | 1,235 | ₹ | | ₹ | 1,235 | ₹ | | ||||||||||||||||
Others |
390 | | 390 | | 124 | | 124 | | ||||||||||||||||||||||||
Investments: |
||||||||||||||||||||||||||||||||
Short-term mutual funds |
71,686 | 71,686 | | | 100,056 | 100,056 | | | ||||||||||||||||||||||||
Fixed maturity plan mutual funds |
1,395 | | 1,395 | | 1,421 | | 1,421 | | ||||||||||||||||||||||||
Equity instruments |
20,234 | 108 | | 20,126 | 20,126 | 109 | | 20,017 | ||||||||||||||||||||||||
Non-convertible debentures, government securities, commercial papers, certificate of deposit and bonds |
201,477 | 1,282 | 200,195 | | 215,064 | 1,266 | 213,798 | | ||||||||||||||||||||||||
Liabilities |
||||||||||||||||||||||||||||||||
Derivative instruments: |
||||||||||||||||||||||||||||||||
Cash flow hedges |
₹ | (233 | ) | ₹ | | ₹ | (233 | ) | ₹ | | ₹ | (43 | ) | ₹ | | ₹ | (43 | ) | ₹ | | ||||||||||||
Others |
(329 | ) | | (329 | ) | | (98 | ) | | (98 | ) | | ||||||||||||||||||||
Liability on written put options to non-controlling interests |
(4,303 | ) | | | (4,303 | ) | (4,366 | ) | | | (4,366 | ) | ||||||||||||||||||||
Contingent consideration |
(429 | ) | | | (429 | ) | (434 | ) | | | (434 | ) |
The following methods and assumptions were used to estimate the fair value of the level 2 financial instruments included in the above table.
Financial instrument |
Method and assumptions | |
Derivative instruments (assets and liabilities) | The Company enters into derivative financial instruments with various counterparties, primarily banks with investment grade credit ratings. Derivatives valued using valuation techniques with market observable inputs are mainly interest rate swaps, foreign exchange forward contracts and foreign exchange option contracts. The most frequently applied valuation techniques include forward pricing, swap models and Black Scholes models (for option valuation), using present value calculations. The models incorporate various inputs including the credit quality of counterparties, foreign exchange spot and forward rates, interest rate curves and forward rate curves of the underlying. As at June 30, 2024, the changes in counterparty credit risk had no material effect on the hedge effectiveness assessment for derivatives designated in hedge relationships and other financial instruments recognized at fair value. | |
Investment in non-convertible debentures, government securities, commercial papers, certificate of deposits and bonds | Fair value of these instruments is derived based on the indicative quotes of price and yields prevailing in the market as at reporting date. | |
Investment in fixed maturity plan mutual funds | Fair value of these instruments is derived based on the indicative quotes of price prevailing in the market as at reporting date. |
18
The following methods and assumptions were used to estimate the fair value of the level 3 financial instruments included in the above table.
Financial instrument |
Method and assumptions | |
Investment in equity instruments | Fair value of these instruments is determined using market approach primarily based on market multiples method. | |
Contingent consideration and liability on written put options to non-controlling interest | Fair value of these instruments is determined using valuation techniques which includes inputs relating to risk-adjusted revenue and operating profit forecast. |
The following table presents changes in Level 3 assets and liabilities for the year ended March 31, 2024 and three months ended June 30, 2024:
As at | ||||||||
Investment in equity instruments | March 31, 2024 | June 30, 2024 | ||||||
Balance at the beginning of the period |
₹ | 19,321 | ₹ | 20,126 | ||||
Additions |
1,277 | 412 | ||||||
Disposals (1) (2) |
(416 | ) | (210 | ) | ||||
Gain/(loss) recognized in consolidated statement of income |
(136 | ) | 11 | |||||
Gain/(loss) recognized in other comprehensive income |
(485 | ) | (318 | ) | ||||
Translation adjustment |
565 | (4 | ) | |||||
|
|
|
|
|||||
Balance at the end of the period |
₹ | 20,126 | ₹ | 20,017 | ||||
|
|
|
|
(1) | During the year ended March 31, 2024, the Company sold its shares in Moogsoft (Herd) Inc. at a fair value of ₹ 179 and recognized a cumulative loss of ₹ 91 in other comprehensive income. |
(2) | During the three months ended June 30, 2024, the Company sold its shares in Headspin Inc. at a fair value of ₹ 184 and recognized a cumulative loss of ₹ 236 in other comprehensive income and cumulative gain of ₹ 17 in the consolidated statement of income. |
As at | ||||||||
Contingent consideration | March 31, 2024 | June 30, 2024 | ||||||
Balance at the beginning of the period |
₹ | (3,053 | ) | ₹ | (429 | ) | ||
Reversals (1) |
1,300 | | ||||||
Payouts |
1,294 | | ||||||
Finance expense (recognized)/reversed in consolidated statement of income |
55 | (5 | ) | |||||
Translation adjustment |
(25 | ) | ^ | |||||
|
|
|
|
|||||
Balance at the end of the period |
₹ | (429 | ) | ₹ | (434 | ) | ||
|
|
|
|
(1) | Towards change in fair value of earn-out liability as a result of changes in estimates of revenue and earnings over the earn-out period. |
^ | Value is less than 0.5 |
As at | ||||||||
Liability on written put options to non-controlling interests | March 31, 2024 | June 30, 2024 | ||||||
Balance at the beginning of the period |
₹ | | ₹ | (4,303 | ) | |||
Addition through Business combination |
(4,238 | ) | | |||||
Finance expense recognized in consolidated statement of income |
(33 | ) | (64 | ) | ||||
Translation adjustment |
(32 | ) | 1 | |||||
|
|
|
|
|||||
Balance at the end of the period |
₹ | (4,303 | ) | ₹ | (4,366 | ) | ||
|
|
|
|
Derivative assets and liabilities:
The Company is exposed to currency fluctuations on foreign currency assets / liabilities, forecasted cash flows denominated in foreign currency and net investment in foreign operations. The Company is also exposed to interest rate fluctuations on investments in floating rate financial assets and floating rate borrowings. The Company follows established risk management policies, including the use of derivatives to hedge foreign currency assets / liabilities, interest rates, foreign currency forecasted cash flows and net investment in foreign operations. The counter parties in these derivative instruments are primarily banks and the Company considers the risks of non-performance by the counterparty as immaterial.
19
The following table presents the aggregate contracted principal amounts of the Companys derivative contracts outstanding:
(in millions)
As at | ||||||||||||||||||||||||
March 31, 2024 | June 30, 2024 | |||||||||||||||||||||||
Notional | Fair value | Notional | Fair value | |||||||||||||||||||||
Designated derivative instruments |
||||||||||||||||||||||||
Sell: Forward contracts |
USD | 1,349 | ₹ | 264 | USD | 1,419 | ₹ | 564 | ||||||||||||||||
| 11 | ₹ | 10 | | 28 | ₹ | 25 | |||||||||||||||||
£ | 17 | ₹ | 16 | £ | 31 | ₹ | 8 | |||||||||||||||||
AUD | 15 | ₹ | 15 | AUD | 27 | ₹ | (1 | ) | ||||||||||||||||
Range forward option contracts |
USD | 730 | ₹ | 192 | USD | 710 | ₹ | 264 | ||||||||||||||||
| 129 | ₹ | 59 | | 95 | ₹ | 93 | |||||||||||||||||
£ | 86 | ₹ | (11 | ) | £ | 60 | ₹ | 23 | ||||||||||||||||
AUD | 57 | ₹ | 10 | AUD | 31 | ₹ | (3 | ) | ||||||||||||||||
Interest rate swaps |
INR | 4,750 | ₹ | (71 | ) | INR | 4,750 | ₹ | (37 | ) | ||||||||||||||
USD | 225 | ₹ | 233 | USD | 225 | ₹ | 212 | |||||||||||||||||
Non-designated derivative instruments |
||||||||||||||||||||||||
Sell: Forward contracts (1) |
USD | 1,158 | ₹ | (31 | ) | USD | 984 | ₹ | 29 | |||||||||||||||
| 195 | ₹ | 119 | | 133 | ₹ | (1 | ) | ||||||||||||||||
£ | 72 | ₹ | 44 | £ | 47 | ₹ | (22 | ) | ||||||||||||||||
AUD | 55 | ₹ | 30 | AUD | 52 | ₹ | (4 | ) | ||||||||||||||||
SGD | 26 | ₹ | 12 | SGD | 29 | ₹ | 3 | |||||||||||||||||
ZAR | 97 | ₹ | 4 | ZAR | 22 | ₹ | ^ | |||||||||||||||||
CAD | 61 | ₹ | (1 | ) | CAD | 73 | ₹ | 15 | ||||||||||||||||
SAR | 188 | ₹ | (2 | ) | SAR | 188 | ₹ | (1 | ) | |||||||||||||||
QAR | 5 | ₹ | (2 | ) | QAR | 5 | ₹ | ^ | ||||||||||||||||
TRY | 86 | ₹ | (1 | ) | TRY | 86 | ₹ | (7 | ) | |||||||||||||||
NOK | 20 | ₹ | 2 | NOK | 6 | ₹ | (1 | ) | ||||||||||||||||
OMR | 2 | ₹ | ^ | OMR | 2 | ₹ | ^ | |||||||||||||||||
JPY | 3,975 | ₹ | 32 | JPY | 4,362 | ₹ | 43 | |||||||||||||||||
DKK | 33 | ₹ | 3 | DKK | 24 | ₹ | ^ | |||||||||||||||||
AED | 22 | ₹ | ^ | AED | 8 | ₹ | ^ | |||||||||||||||||
CNH | 11 | ₹ | 3 | CNH | | ₹ | | |||||||||||||||||
MXN | 212 | ₹ | (35 | ) | MXN | 187 | ₹ | 49 | ||||||||||||||||
COP | 8,120 | ₹ | (5 | ) | COP | 8,120 | ₹ | 10 | ||||||||||||||||
MYR | 20 | ₹ | (2 | ) | MYR | 30 | ₹ | 1 | ||||||||||||||||
RON | 80 | ₹ | (9 | ) | RON | 80 | ₹ | (6 | ) | |||||||||||||||
BHD | ^ | ₹ | ^ | BHD | ^ | ₹ | ^ | |||||||||||||||||
HKD | 80 | ₹ | ^ | HKD | 79 | ₹ | ^ | |||||||||||||||||
CRC | 3,380 | ₹ | (19 | ) | CRC | | ₹ | | ||||||||||||||||
NZD | 2 | ₹ | 2 | NZD | 2 | ₹ | (2 | ) | ||||||||||||||||
KRW | | ₹ | | KRW | 1,100 | ₹ | 1 | |||||||||||||||||
TWD | | ₹ | | TWD | 40 | ₹ | ^ | |||||||||||||||||
Buy: Forward contracts |
USD | 4 | ₹ | 1 | USD | 4 | ₹ | ^ | ||||||||||||||||
| 7 | ₹ | (5 | ) | | 6 | ₹ | (1 | ) | |||||||||||||||
£ | 2 | ₹ | ^ | £ | | ₹ | | |||||||||||||||||
AUD | 2 | ₹ | ^ | AUD | | ₹ | | |||||||||||||||||
CAD | 49 | ₹ | (4 | ) | CAD | 49 | ₹ | (3 | ) | |||||||||||||||
QAR | 29 | ₹ | 10 | QAR | 29 | ₹ | ^ | |||||||||||||||||
CNH | 126 | ₹ | (5 | ) | CNH | 127 | ₹ | ^ | ||||||||||||||||
RON | 91 | ₹ | (9 | ) | RON | 51 | ₹ | ^ | ||||||||||||||||
TWD | 40 | ₹ | (2 | ) | TWD | | ₹ | | ||||||||||||||||
PLN | 39 | ₹ | (6 | ) | PLN | 35 | ₹ | 1 | ||||||||||||||||
SEK | 39 | ₹ | (5 | ) | SEK | 38 | ₹ | (4 | ) | |||||||||||||||
CHF | 5 | ₹ | (29 | ) | CHF | 10 | ₹ | 4 | ||||||||||||||||
BRL | 67 | ₹ | (5 | ) | BRL | 73 | ₹ | (28 | ) | |||||||||||||||
RMB | 25 | ₹ | (6 | ) | RMB | 46 | ₹ | (6 | ) | |||||||||||||||
KWD | ^ | ₹ | ^ | KWD | ^ | ₹ | ^ | |||||||||||||||||
|
|
|
|
|||||||||||||||||||||
₹ | 796 | ₹ | 1,218 | |||||||||||||||||||||
|
|
|
|
^ | Value is less than 0.5 |
(1) | USD 1,158 and USD 984 includes USD/PHP sell forward of USD 167 and USD 160 as at March 31, 2024 and June 30, 2024, respectively. |
20
The Company determines the existence of an economic relationship between the hedging instrument and the hedged item based on the currency, amount and timing of its forecasted cash flows. Hedge effectiveness is determined at the inception of the hedge relationship, and through periodic prospective effectiveness assessments to ensure that an economic relationship exists between the hedged item and hedging instrument, including whether the hedging instrument is expected to offset changes in cash flows of hedged items.
If the hedge ratio for risk management purposes is no longer optimal but the risk management objective remains unchanged and the hedge continues to qualify for hedge accounting, the hedge relationship will be rebalanced by adjusting either the volume of the hedging instrument or the volume of the hedged item so that the hedge ratio aligns with the ratio used for risk management purposes. Any hedge ineffectiveness is calculated and accounted for in consolidated statement of income at the time of the hedge relationship rebalancing.
The following table summarizes activity in the cash flow hedging reserve within equity related to all derivative instruments classified as cash flow hedges:
Three months ended June 30, | ||||||||
2023 | 2024 | |||||||
Balance as at the beginning of the period |
₹ | (1,762 | ) | ₹ | 773 | |||
Changes in fair value of effective portion of derivatives |
1,846 | 628 | ||||||
Net (gain)/loss reclassified to consolidated statement of income on occurrence of hedged transactions (1) |
1,013 | (243 | ) | |||||
Net (gain)/loss on ineffective portion of derivative instruments classified to consolidated statement of income |
(33 | ) | 44 | |||||
|
|
|
|
|||||
Gain/(loss) on cash flow hedging derivatives, net |
₹ | 2,826 | ₹ | 429 | ||||
|
|
|
|
|||||
Balance as at the end of the period |
₹ | 1,064 | ₹ | 1,202 | ||||
Deferred tax asset/(liability) thereon |
(267 | ) | (317 | ) | ||||
|
|
|
|
|||||
Balance as at the end of the period, net of deferred taxes |
₹ | 797 | ₹ | 885 | ||||
|
|
|
|
(1) | Includes net (gain)/loss reclassified to revenue of ₹ (256); net (gain)/loss reclassified to cost of revenues of ₹ 24; net (gain)/loss reclassified to finance expenses of ₹ (47), and net (gain)/loss reclassified to finance and other income of ₹ 36 for the three months ended June 30, 2024. |
The related hedge transactions for balance in cash flow hedging reserves as at June 30, 2024 are expected to occur and be reclassified to the statement of income over a period of twelve months.
As at June 30, 2023 and 2024, there were no material gains or losses on derivative transactions or portions thereof that have become ineffective as hedges or associated with an underlying exposure that did not occur.
18. Foreign currency translation reserve and Other reserves
The movement in foreign currency translation reserve attributable to equity holders of the Company is summarized below:
Three months ended June 30, | ||||||||
2023 | 2024 | |||||||
Balance at the beginning of the period |
₹ | 43,255 | ₹ | 47,261 | ||||
Translation difference related to foreign operations, net |
(361 | ) | (1,398 | ) | ||||
Reclassification of foreign currency translation differences on liquidation of subsidiaries to statement of income |
2 | ^ | ||||||
|
|
|
|
|||||
Balance at the end of the period |
₹ | 42,896 | ₹ | 45,863 | ||||
|
|
|
|
^ | Value is less than 0.5 |
The movement in other reserves is summarized below:
Other Reserves | ||||||||||||||||||||
Particulars | Remeasurements of the defined benefit plans |
Investment in debt instruments measured at fair value through OCI |
Investment in equity instruments measured at fair value through OCI |
Capital Redemption Reserve |
Gross obligation to non-controlling interests under put options |
|||||||||||||||
As at April 1, 2023 |
₹ | (548 | ) | ₹ | (119 | ) | ₹ | 10,793 | ₹ | 1,122 | ₹ | | ||||||||
Other comprehensive income |
43 | 1,039 | 16 | | | |||||||||||||||
As at June 30, 2023 |
₹ | (505 | ) | ₹ | 920 | ₹ | 10,809 | ₹ | 1,122 | ₹ | | |||||||||
As at April 1, 2024 |
₹ | (286 | ) | ₹ | 1,397 | ₹ | 10,320 | ₹ | 1,661 | ₹ | (4,238 | ) | ||||||||
Other comprehensive income |
59 | 184 | (319 | ) | | | ||||||||||||||
As at June 30, 2024 |
₹ | (227 | ) | ₹ | 1,581 | ₹ | 10,001 | ₹ | 1,661 | ₹ | (4,238 | ) |
21
19. Income taxes
Three months ended June 30, | ||||||||
2023 | 2024 | |||||||
Income tax expense as per the statement of income |
₹ | 9,115 | ₹ | 9,850 | ||||
Income tax included in other comprehensive income on: |
||||||||
Gains/(losses) on investment securities |
162 | 37 | ||||||
Gains/(losses) on cash flow hedging derivatives |
626 | 122 | ||||||
Remeasurements of the defined benefit plans |
33 | 62 | ||||||
|
|
|
|
|||||
₹ | 9,936 | ₹ | 10,071 | |||||
|
|
|
|
Income tax expense consists of the following:
Three months ended June 30, | ||||||||
2023 | 2024 | |||||||
Current taxes |
₹ | 9,135 | ₹ | 10,368 | ||||
Deferred taxes |
(20 | ) | (518 | ) | ||||
|
|
|
|
|||||
₹ | 9,115 | ₹ | 9,850 | |||||
|
|
|
|
Income tax expenses are net of provision reversal of taxes pertaining to earlier periods, amounting to ₹ 627 and ₹ 194 for the three months ended June 30, 2023 and 2024, respectively.
20. Revenues
The tables below present disaggregated revenue from contracts with customers by business segment (Refer to Note 27 Segment Information), sector and nature of contract. The Company believes that the below disaggregation best depicts the nature, amount, timing and uncertainty of revenue and cash flows from economic factors.
22
Information on disaggregation of revenues for the three months ended June 30, 2023 is as follows:
IT Services | IT Products | Total | ||||||||||||||||||||||||||
Americas 1 | Americas 2 | Europe | APMEA | Total | ||||||||||||||||||||||||
A. Revenue |
||||||||||||||||||||||||||||
Rendering of services |
₹ | 65,622 | ₹ | 68,321 | ₹ | 67,155 | ₹ | 26,518 | ₹ | 227,616 | ₹ | | ₹ | 227,616 | ||||||||||||||
Sale of products |
| | | | | 694 | 694 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
₹ | 65,622 | ₹ | 68,321 | ₹ | 67,155 | ₹ | 26,518 | ₹ | 227,616 | ₹ | 694 | ₹ | 228,310 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
B. Revenue by sector |
||||||||||||||||||||||||||||
Banking, Financial Services and Insurance |
₹ | 784 | ₹ | 42,015 | ₹ | 25,522 | ₹ | 9,041 | ₹ | 77,362 | ||||||||||||||||||
Health |
21,727 | 85 | 4,823 | 1,250 | 27,885 | |||||||||||||||||||||||
Consumer |
26,355 | 1,114 | 10,799 | 4,269 | 42,537 | |||||||||||||||||||||||
Communications |
3,486 | 347 | 3,123 | 3,462 | 10,418 | |||||||||||||||||||||||
Energy, Natural Resources and Utilities |
106 | 10,294 | 11,111 | 5,845 | 27,356 | |||||||||||||||||||||||
Manufacturing |
47 | 8,484 | 6,893 | 1,038 | 16,462 | |||||||||||||||||||||||
Technology |
13,117 | 5,982 | 4,884 | 1,613 | 25,596 | |||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
₹ | 65,622 | ₹ | 68,321 | ₹ | 67,155 | ₹ | 26,518 | ₹ | 227,616 | ₹ | 694 | ₹ | 228,310 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
C. Revenue by nature of contract |
||||||||||||||||||||||||||||
Fixed price and volume based |
₹ | 37,524 | ₹ | 35,450 | ₹ | 39,723 | ₹ | 15,942 | ₹ | 128,639 | ₹ | | ₹ | 128,639 | ||||||||||||||
Time and materials |
28,098 | 32,871 | 27,432 | 10,576 | 98,977 | | 98,977 | |||||||||||||||||||||
Products |
| | | | | 694 | 694 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
₹ | 65,622 | ₹ | 68,321 | ₹ | 67,155 | ₹ | 26,518 | ₹ | 227,616 | ₹ | 694 | ₹ | 228,310 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Information on disaggregation of revenues for the three months ended June 30, 2024 is as follows:
IT Services | IT Products | Total | ||||||||||||||||||||||||||
Americas 1 | Americas 2 | Europe | APMEA | Total | ||||||||||||||||||||||||
A. Revenue |
||||||||||||||||||||||||||||
Rendering of services |
₹ | 67,762 | ₹ | 67,402 | ₹ | 60,478 | ₹ | 23,527 | ₹ | 219,169 | ₹ | | ₹ | 219,169 | ||||||||||||||
Sale of products |
| | | | | 469 | 469 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
₹ | 67,762 | ₹ | 67,402 | ₹ | 60,478 | ₹ | 23,527 | ₹ | 219,169 | ₹ | 469 | ₹ | 219,638 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
B. Revenue by sector |
||||||||||||||||||||||||||||
Banking, Financial Services and Insurance |
₹ | 433 | ₹ | 41,886 | ₹ | 23,048 | ₹ | 8,979 | ₹ | 74,346 | ||||||||||||||||||
Health |
25,565 | 22 | 3,841 | 993 | 30,421 | |||||||||||||||||||||||
Consumer |
25,621 | 1,862 | 10,709 | 3,948 | 42,140 | |||||||||||||||||||||||
Communications |
2,999 | 208 | 2,310 | 2,793 | 8,310 | |||||||||||||||||||||||
Energy, Natural Resources and Utilities |
667 | 10,107 | 9,352 | 4,454 | 24,580 | |||||||||||||||||||||||
Manufacturing |
14 | 7,244 | 5,995 | 942 | 14,195 | |||||||||||||||||||||||
Technology |
12,463 | 6,073 | 5,223 | 1,418 | 25,177 | |||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
₹ | 67,762 | ₹ | 67,402 | ₹ | 60,478 | ₹ | 23,527 | ₹ | 219,169 | ₹ | 469 | ₹ | 219,638 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
C. Revenue by nature of contract |
||||||||||||||||||||||||||||
Fixed price and volume based |
₹ | 35,970 | ₹ | 34,578 | ₹ | 35,976 | ₹ | 13,674 | ₹ | 120,198 | ₹ | | ₹ | 120,198 | ||||||||||||||
Time and materials |
31,792 | 32,824 | 24,502 | 9,853 | 98,971 | | 98,971 | |||||||||||||||||||||
Products |
| | | | | 469 | 469 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
₹ | 67,762 | ₹ | 67,402 | ₹ | 60,478 | ₹ | 23,527 | ₹ | 219,169 | ₹ | 469 | ₹ | 219,638 | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
23
21. Expenses by nature
Three months ended June 30, |
||||||||
2023 | 2024 | |||||||
Employee compensation |
₹ | 140,276 | ₹ | 132,293 | ||||
Sub-contracting and technical fees |
26,385 | 24,767 | ||||||
Cost of hardware and software |
806 | 658 | ||||||
Travel |
4,175 | 3,937 | ||||||
Facility expenses |
3,452 | 4,133 | ||||||
Software license expense for internal use |
4,607 | 4,605 | ||||||
Depreciation, amortization and impairment |
7,380 | 7,289 | ||||||
Communication |
1,249 | 993 | ||||||
Legal and professional fees |
2,251 | 2,282 | ||||||
Rates, taxes and insurance |
1,462 | 1,216 | ||||||
Marketing and brand building |
977 | 804 | ||||||
Lifetime expected credit loss/ (write-back) |
300 | (26 | ) | |||||
(Gain)/loss on sale of property, plant and equipment, net (1) |
78 | (23 | ) | |||||
Miscellaneous expenses (1) (2) |
334 | 435 | ||||||
|
|
|
|
|||||
Total cost of revenues, selling and marketing expenses and general and administrative expenses |
₹ | 193,732 | ₹ | 183,363 | ||||
|
|
|
|
(1) | (Gain)/loss on sale of property, plant and equipment, net has been reclassified from Miscellaneous expenses and is presented separately for the three months ended June 30, 2023. |
(2) | Miscellaneous expenses are net of reversals of contingent consideration (Refer to Note 17). |
22. Finance expenses
Three months ended June 30, |
||||||||
2023 | 2024 | |||||||
Interest expense (1) |
₹ | 3,086 | ₹ | 3,288 | ||||
|
|
|
|
|||||
₹ | 3,086 | ₹ | 3,288 | |||||
|
|
|
|
(1) | Includes Interest expense on lease liabilities of ₹ 316 and ₹ 363 for the three months ended June 30, 2023 and 2024, respectively. |
23. Finance and other income and Foreign exchange gains/(losses), net
Three months ended June 30, |
||||||||
2023 | 2024 | |||||||
Interest income |
₹ | 5,244 | ₹ | 5,627 | ||||
Dividend income from equity investments designated as FVTOCI |
1 | | ||||||
Net gain from investments classified as FVTPL |
1,336 | 1,853 | ||||||
Net loss from investments classified as FVTOCI |
(39 | ) | | |||||
|
|
|
|
|||||
Finance and other income |
₹ | 6,542 | ₹ | 7,480 | ||||
|
|
|
|
|||||
Foreign exchange gains/(losses), net, on financial instruments measured at FVTPL |
₹ | 881 | ₹ | (185 | ) | |||
Other foreign exchange gains/(losses), net |
(943 | ) | (21 | ) | ||||
|
|
|
|
|||||
Foreign exchange gains/(losses), net |
₹ | (62 | ) | ₹ | (206 | ) | ||
|
|
|
|
24. Earnings per equity share:
A reconciliation of profit for the period and equity shares used in the computation of basic and diluted earnings per equity share is set out below:
Basic: Basic earnings per equity share is calculated by dividing the profit attributable to equity shareholders of the Company by the weighted average number of equity shares outstanding during the period, excluding equity shares purchased by the Company and held as treasury shares.
Three months ended June 30, | ||||||||
2023 | 2024 | |||||||
Profit attributable to equity holders of the Company |
₹ | 28,701 | ₹ | 30,032 | ||||
Weighted average number of equity shares outstanding |
5,482,733,329 | 5,225,776,256 | ||||||
|
|
|
|
|||||
Basic earnings per equity share |
₹ | 5.23 | ₹ | 5.75 | ||||
|
|
|
|
Diluted: Diluted earnings per equity share is calculated by adjusting the weighted average number of equity shares outstanding during the period for assumed conversion of all dilutive potential equity shares. Employee share options are dilutive potential equity shares for the Company.
The calculation is performed in respect of share options to determine the number of equity shares that could have been acquired at fair value (determined as the average market price of the Companys equity shares during the period). The number of equity shares calculated as above is compared with the number of equity shares that would have been issued assuming the exercise of the share options.
24
The calculation of the potential dilutive effect on earnings per share on Buyback of equity shares includes the incremental equity shares arrived as the difference between the number of ordinary shares assumed at the fair value (determined as the average market price of the Companys shares during the period) and the number of ordinary shares received from satisfying the Buyback offer.
Three months ended June 30, | ||||||||
2023 | 2024 | |||||||
Profit attributable to equity holders of the Company |
₹ | 28,701 | ₹ | 30,032 | ||||
Weighted average number of equity shares outstanding |
5,482,733,329 | 5,225,776,256 | ||||||
Effect of dilutive equivalent share options |
10,422,480 | 10,991,857 | ||||||
Dilutive effect from buyback of equity shares |
107,151,506 | | ||||||
|
|
|
|
|||||
Weighted average number of equity shares for diluted earnings per equity share |
5,600,307,315 | 5,236,768,113 | ||||||
|
|
|
|
|||||
Diluted earnings per equity share |
₹ | 5.12 | ₹ | 5.73 | ||||
|
|
|
|
25. Employee compensation
Three months ended June 30, |
||||||||
2023 | 2024 | |||||||
Salaries and bonus |
₹ | 133,800 | ₹ | 126,128 | ||||
Employee benefits plans |
4,932 | 4,836 | ||||||
Share-based compensation (1) |
1,544 | 1,329 | ||||||
|
|
|
|
|||||
₹ | 140,276 | ₹ | 132,293 | |||||
|
|
|
|
(1) | Includes ₹ (2) and ₹ (6) for the three months ended June 30, 2023 and 2024 respectively, towards cash settled ADS RSUs. |
The employee benefit cost is recognized in the following line items in the interim condensed consolidated statement of income:
Three months ended June 30, |
||||||||
2023 | 2024 | |||||||
Cost of revenues |
₹ | 117,733 | ₹ | 112,171 | ||||
Selling and marketing expenses |
12,612 | 11,964 | ||||||
General and administrative expenses |
9,931 | 8,158 | ||||||
|
|
|
|
|||||
₹ | 140,276 | ₹ | 132,293 | |||||
|
|
|
|
The Company has granted 3,341,675 options under RSU option plan during the three months ended June 30, 2024 (3,217,885 for the three months ended June 30, 2023); 8,167,087 options under ADS option plan during the three months ended June 30, 2024 (8,061,125 for the three months ended June 30, 2023).
The Company has also granted 2,014,993 Performance based stock options (RSU) during the three months ended June 30, 2024 (1,892,498 for the three months ended June 30, 2023); 5,297,557 Performance based stock options (ADS) during the three months ended June 30, 2024 (5,648,833 for the three months ended June 30, 2023).
The RSU grants were issued under Wipro Employee Restricted Stock Unit plan 2007 (WSRUP 2007 plan) and the ADS grants were issued under Wipro ADS Restricted Stock Unit Plan (WARSUP 2004 plan). Performance based stock options will vest based on the performance parameters of the Company.
26. Commitments and contingencies
Capital commitments: As at March 31, 2024 and June 30, 2024 the Company had committed to spend approximately ₹ 10,322 and ₹ 8,837 respectively, under agreements to purchase/ construct property and equipment. These amounts are net of capital advances paid in respect of these purchases. Refer to Note 7 for uncalled capital commitments on investment in equity instruments.
Guarantees: As at March 31, 2024 and June 30, 2024, guarantees provided by banks on behalf of the Company to the Indian Government, customers and certain other agencies aggregate to ₹ 13,455 and ₹ 13,017 respectively, as part of the bank line of credit.
Contingencies and lawsuits: The Company is subject to legal proceedings and claims resulting from tax assessment orders/ penalty notices issued under the Income Tax Act, 1961, which have arisen in the ordinary course of its business. Some of the claims involve complex issues and it is not possible to make a reasonable estimate of the expected financial effect, if any, that will result from ultimate resolution of such proceedings. However, the resolution of these legal proceedings is not likely to have a material and adverse effect on the results of operations or the financial position of the Company.
The Companys assessments are completed for the years up to March 31, 2019. The Company has received demands on multiple tax issues. These claims are primarily arising out of denial of deduction under section 10A of the Income Tax Act, 1961 in respect of profit earned by the Companys undertaking in Software Technology Park at Bengaluru, the appeals filed against the said demand before the Appellate authorities have been allowed in favor of the Company by the second appellate authority for the years up to March 31, 2008 which either has been or may be contested by the Income tax authorities before the Honble Supreme Court of India. Other claims relate to disallowance of tax benefits on profits earned from Software Technology Park and Special Economic Zone units, capitalization of research and development expenses, transfer pricing adjustments on intercompany / inter unit transactions and other issues.
25
Income tax claims against the Company amounting to ₹ 95,520 and ₹ 96,881 are not acknowledged as debt as at March 31, 2024 and June 30, 2024, respectively. These matters are pending before various Appellate Authorities and the management expects its position will likely be upheld on ultimate resolution and will not have a material adverse effect on the Companys financial position and results of operations.
The contingent liability in respect of disputed demands for excise duty, custom duty, sales tax and other matters amounting to ₹ 18,799 and ₹ 19,350 as of March 31, 2024, and June 30, 2024, respectively. However, the resolution of these disputed demands is not likely to have a material and adverse effect on the results of operations or the financial position of the Company.
27. Segment information
The Company is organized into the following operating segments: IT Services and IT Products.
IT Services: The IT Services segment primarily consists of IT services offerings to customers organized by four Strategic Market Units (SMUs) - Americas 1, Americas 2, Europe and Asia Pacific Middle East and Africa (APMEA). Americas 1 and Americas 2 are primarily organized by industry sector, while Europe and APMEA are organized by countries.
Americas 1 includes the entire business of Latin America (LATAM) and the following industry sectors in the United States of America: communications, media and information services, software and gaming, new age technology, consumer goods, medical devices and life sciences, healthcare, and technology products and services. Americas 2 includes the entire business in Canada and the following industry sectors in the United States of America: banking and financial services, energy, manufacturing and resources, capital markets and insurance, and hi-tech. Europe consists of the United Kingdom and Ireland, Switzerland, Germany, Benelux, the Nordics and Southern Europe. APMEA consists of Australia and New Zealand, India, Middle East, South East Asia, Japan and Africa.
Revenue from each customer is attributed to the respective SMUs based on the location of the customers primary buying center of such services. With respect to certain strategic global customers, revenue may be generated from multiple countries based on such customers buying centers, but the total revenue related to these strategic global customers are attributed to a single SMU based on the geographical location of key decision makers.
Our IT Services segment provides a range of IT and IT enabled services which include digital strategy advisory, customer centric design, technology consulting, IT consulting, custom application design, development, re-engineering and maintenance, systems integration, package implementation, cloud and infrastructure services, business process services, cloud, mobility and analytics services, research and development and hardware and software design.
IT Products: The Company is a value-added reseller of security, packaged and SaaS software for leading international brands. In certain total outsourcing contracts of the IT Services segment, the Company delivers hardware, software products and other related deliverables. Revenue relating to these items is reported as revenue from the sale of IT Products.
The Chief Executive Officer (CEO) and Managing Director of the Company has been identified as the Chief Operating Decision Maker as defined by IFRS 8, Operating Segments. The CEO of the Company evaluates the segments based on their revenue growth and operating income.
Assets and liabilities used in the Companys business are not identified to any of the operating segments, as these are used interchangeably between segments. Management believes that it is currently not practicable to provide segment disclosures relating to total assets and liabilities since a meaningful segregation of the available data is onerous.
26
Information on reportable segments for the three months ended June 30, 2023, is as follows:
IT Services | IT Products | Reconciling Items |
Total | |||||||||||||||||||||||||||||
Americas 1 | Americas 2 | Europe | APMEA | Total | ||||||||||||||||||||||||||||
Revenue |
₹ | 65,607 | ₹ | 68,303 | ₹ | 67,134 | ₹ | 26,510 | ₹ | 227,554 | ₹ | 694 | ₹ | | ₹ | 228,248 | ||||||||||||||||
Segment result |
13,537 | 14,169 | 9,968 | 2,800 | 40,474 | (161 | ) | (1,840 | ) | 38,473 | ||||||||||||||||||||||
Unallocated |
(3,957 | ) | | | (3,957 | ) | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Segment result total |
₹ | 36,517 | ₹ | (161 | ) | ₹ | (1,840 | ) | ₹ | 34,516 | ||||||||||||||||||||||
Finance expenses |
(3,086 | ) | ||||||||||||||||||||||||||||||
Finance and other income |
6,542 | |||||||||||||||||||||||||||||||
Share of net profit/(loss) of associate accounted for using the equity method |
3 | |||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Profit before tax |
₹ | 37,975 | ||||||||||||||||||||||||||||||
Income tax expense |
(9,115 | ) | ||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Profit for the period |
₹ | 28,860 | ||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Depreciation, amortization and impairment |
₹ | 7,380 | ||||||||||||||||||||||||||||||
|
|
Information on reportable segments for the three months ended June 30, 2024, is as follows:
IT Services | IT Products | Reconciling Items |
Total | |||||||||||||||||||||||||||||
Americas 1 | Americas 2 | Europe | APMEA | Total | ||||||||||||||||||||||||||||
Revenue |
₹ | 67,700 | ₹ | 67,338 | ₹ | 60,422 | ₹ | 23,503 | ₹ | 218,963 | ₹ | 469 | ₹ | | ₹ | 219,432 | ||||||||||||||||
Segment result |
13,687 | 15,533 | 5,873 | 2,441 | 37,534 | (47 | ) | 59 | 37,546 | |||||||||||||||||||||||
Unallocated |
(1,477 | ) | | | (1,477 | ) | ||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Segment result total |
₹ | 36,057 | ₹ | (47 | ) | ₹ | 59 | ₹ | 36,069 | |||||||||||||||||||||||
Finance expenses |
(3,288 | ) | ||||||||||||||||||||||||||||||
Finance and other income |
7,480 | |||||||||||||||||||||||||||||||
Share of net profit/(loss) of associate and joint venture accounted for using the equity method |
(45 | ) | ||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Profit before tax |
₹ | 40,216 | ||||||||||||||||||||||||||||||
Income tax expense |
(9,850 | ) | ||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Profit for the period |
₹ | 30,366 | ||||||||||||||||||||||||||||||
|
|
|||||||||||||||||||||||||||||||
Depreciation, amortization and impairment |
₹ | 7,289 | ||||||||||||||||||||||||||||||
|
|
27
Revenues from India, being Companys country of domicile, is ₹ 6,007 and ₹ 4,923 for the three months ended June 30, 2023 and 2024, respectively.
Revenues from United States of America and United Kingdom contributed more than 10% of Companys total revenues as per table below:
Three months ended June 30, | ||||||||
2023 | 2024 | |||||||
United States of America |
₹ | 126,497 | ₹ | 129,433 | ||||
United Kingdom |
29,763 | 25,106 | ||||||
|
|
|
|
|||||
₹ | 156,260 | ₹ | 154,539 | |||||
|
|
|
|
No customer individually accounted for more than 10% of the revenues during the three months ended June 30, 2023 and 2024.
Management believes that it is currently not practicable to provide disclosure of geographical location wise assets, since the meaningful segregation of the available information is onerous.
Notes:
a) | Reconciling Items includes elimination of inter-segment transactions and other corporate activities. |
b) | Revenue from sale of Company owned intellectual properties is reported as part of IT Services revenues. |
c) | For the purpose of segment reporting, the Company has included the impact of foreign exchange gains/(losses), net in revenues, which is reported as a part of operating profit in the interim condensed consolidated statement of income. |
d) | Restructuring cost of ₹ 1,887 and ₹ Nil for the three months ended June 30, 2023 and 2024, respectively is included under Reconciling items. |
e) | Unallocated within IT Services segment results is after recognition of amortization and impairment expense on intangible assets of ₹ 1,810 and ₹ 1,782, for the three months ended June 30, 2023 and 2024, respectively, and change in fair value of contingent consideration of ₹ (16) and ₹ Nil, for the three months ended June 30, 2023 and 2024, respectively. |
f) | Segment results of IT Services segment are after recognition of share-based compensation expense of ₹ 1,544 and ₹ 1,329 for the three months ended June 30, 2023 and 2024, respectively. |
g) | Segment results of IT Services segment are after recognition of (gain)/loss on sale of property, plant and equipment of ₹ 78 and ₹ (23) for the three months ended June 30, 2023 and 2024, respectively. |
28. List of subsidiaries, associate and joint venture as at June 30, 2024 is provided below:
Subsidiaries |
Subsidiaries |
Subsidiaries |
Country of Incorporation | |||
Attune Consulting India Private Limited | India | |||||
Capco Technologies Private Limited | India | |||||
Wipro Technology Product Services Private Limited | India | |||||
Wipro Chengdu Limited | China | |||||
Wipro Holdings (UK) Limited | U.K. | |||||
Wipro Financial Outsourcing Services Limited |
U.K. | |||||
Wipro UK Limited | U.K. | |||||
Wipro HR Services India Private Limited | India | |||||
Wipro IT Services Bangladesh Limited | Bangladesh | |||||
Wipro IT Services UK Societas | U.K. | |||||
Designit A/S | Denmark | |||||
Designit Denmark A/S | Denmark | |||||
Designit Germany GmbH | Germany | |||||
Designit Oslo A/S | Norway | |||||
Designit Spain Digital, S.L.U | Spain | |||||
Designit Sweden AB | Sweden | |||||
Designit T.L.V Ltd. | Israel | |||||
Wipro Bahrain Limited Co. W.L.L | Bahrain | |||||
Wipro Czech Republic IT Services s.r.o. | Czech Republic | |||||
Wipro CRM Services (formerly known as Wipro 4C NV) | Belgium | |||||
Wipro 4C Consulting France SAS | France | |||||
Wipro CRM Services B.V. (formerly known as Wipro 4C Nederland B.V) | Netherlands | |||||
Wipro CRM Services ApS | Denmark |
28
Wipro CRM Services UK Limited (1) | U.K. | |||||
Grove Holdings 2 S.á.r.l | Luxembourg | |||||
Capco Solution Services GmbH | Germany | |||||
The Capital Markets Company Italy Srl | Italy | |||||
Capco Brasil Serviços E Consultoria Ltda | Brazil | |||||
The Capital Markets Company BV (1) | Belgium | |||||
PT. WT Indonesia | Indonesia | |||||
Rainbow Software LLC | Iraq | |||||
Wipro Arabia Limited (2) | Saudi Arabia | |||||
Womens Business Park Technologies Limited (2) | Saudi Arabia | |||||
Wipro Doha LLC | Qatar | |||||
Wipro Gulf LLC | Sultanate of Oman | |||||
Wipro Holdings Hungary Korlátolt Felelősségű Társaság | Hungary | |||||
Wipro Holdings Investment Korlátolt Felelősségű Társaság | Hungary | |||||
Wipro Information Technology Netherlands BV. | Netherlands | |||||
Wipro do Brasil Technologia Ltda (1) | Brazil | |||||
Wipro Information Technology Kazakhstan LLP | Kazakhstan | |||||
Wipro Outsourcing Services (Ireland) Limited | Ireland | |||||
Wipro Portugal S.A. (1) | Portugal | |||||
Wipro Solutions Canada Limited | Canada | |||||
Wipro Technologies Limited | Russia | |||||
Wipro Technologies Peru SAC | Peru | |||||
Wipro Technologies W.T. Sociedad Anonima | Costa Rica | |||||
Wipro Technology Chile SPA | Chile | |||||
Wipro IT Service Ukraine, LLC | Ukraine | |||||
Wipro IT Services Poland SP Z.O.O | Poland | |||||
Wipro IT Services S.R.L. | Romania | |||||
Wipro Regional Headquarter | Saudi Arabia | |||||
Wipro Technologies Australia Pty Ltd | Australia | |||||
Wipro Ampion Holdings Pty Ltd (1) | Australia | |||||
Wipro Technologies SA | Argentina | |||||
Wipro Technologies SA DE CV | Mexico | |||||
Wipro Technologies South Africa (Proprietary) Limited | South Africa | |||||
Wipro Technologies Nigeria Limited | Nigeria | |||||
Wipro Technologies SRL | Romania | |||||
Wipro (Thailand) Co. Limited | Thailand | |||||
Wipro Japan KK | Japan | |||||
Wipro Networks Pte Limited | Singapore | |||||
Wipro (Dalian) Limited | China | |||||
Wipro Technologies SDN BHD | Malaysia | |||||
Wipro Overseas IT Services Private Limited | India | |||||
Wipro Philippines, Inc. | Philippines | |||||
Wipro Shanghai Limited | China | |||||
Wipro Trademarks Holding Limited | India | |||||
Wipro Travel Services Limited | India | |||||
Wipro VLSI Design Services India Private Limited | India | |||||
Wipro, LLC | USA | |||||
Wipro Gallagher Solutions, LLC | USA | |||||
Wipro Insurance Solutions, LLC | USA | |||||
Wipro IT Services, LLC | USA | |||||
Aggne Global Inc. (3) | USA | |||||
Cardinal US Holdings, Inc.(1) | USA | |||||
Designit North America, Inc. | USA | |||||
Edgile, LLC | USA | |||||
HealthPlan Services, Inc. (1) | USA |
29
Infocrossing, LLC | USA | |||||
International TechneGroup Incorporated (1) | USA | |||||
Wipro NextGen Enterprise Inc. (1) | USA | |||||
Rizing Intermediate Holdings, Inc. (1) | USA | |||||
Wipro Appirio, Inc. (1) | USA | |||||
Wipro Designit Services, Inc. (1) | USA | |||||
Wipro Telecom Consulting LLC | USA | |||||
Wipro VLSI Design Services, LLC | USA | |||||
Aggne Global IT Services Private Limited (3) | India |
The Company controls The Wipro SA Broad Based Ownership Scheme Trust, Wipro SA Broad Based Ownership Scheme SPV (RF) (PTY) LTD incorporated in South Africa and Wipro Foundation in India.
(2) | All the above direct subsidiaries are 100% held by the Company except that the Company holds 66.67% of the equity securities of Wipro Arabia Limited and 55% of the equity securities of Womens Business Park Technologies Limited are held by Wipro Arabia Limited. |
(3) | The company holds 60% of the equity securities of Aggne Global IT Services Private Limited and Wipro IT Services, LLC holds 60% of the equity securities of Aggne Global Inc. |
(1) | Step Subsidiary details of Cardinal US Holdings, Inc., HealthPlan Services, Inc., International TechneGroup Incorporated, Wipro NextGen Enterprise Inc., Rizing Intermediate Holdings, Inc., The Capital Markets Company BV, Wipro Ampion Holdings Pty Ltd, Wipro Appirio, Inc., Wipro Designit Services, Inc., Wipro do Brasil Technologia Ltda, Wipro Portugal S.A. and Wipro CRM Services UK Limited are as follows: |
Subsidiaries |
Subsidiaries |
Subsidiaries |
Country of | |||
Cardinal US Holdings, Inc. | USA | |||||
ATOM Solutions LLC | USA | |||||
Capco Consulting Services LLC | USA | |||||
Capco RISC Consulting LLC | USA | |||||
The Capital Markets Company LLC | USA | |||||
HealthPlan Services, Inc. | USA | |||||
HealthPlan Services Insurance Agency, LLC | USA | |||||
International TechneGroup Incorporated | USA | |||||
International TechneGroup Ltd. | U.K. | |||||
ITI Proficiency Ltd | Israel | |||||
MechWorks S.R.L. | Italy | |||||
Wipro NextGen Enterprise Inc. | USA | |||||
LeanSwift AB | Sweden | |||||
Rizing Intermediate Holdings, Inc. | USA | |||||
Rizing Lanka (Private) Ltd | Sri Lanka | |||||
Attune Netherlands B.V. (4) | Netherlands | |||||
Rizing Solutions Canada Inc. | Canada | |||||
Rizing LLC | USA | |||||
Aasonn Philippines Inc. | Philippines | |||||
Rizing B.V. | Netherlands | |||||
Rizing Consulting Ireland Limited | Ireland | |||||
Rizing Consulting Pty Ltd. | Australia | |||||
Rizing Geospatial LLC | USA | |||||
Rizing GmbH | Germany | |||||
Rizing Limited | U.K. | |||||
Rizing Pte Ltd. (4) | Singapore | |||||
The Capital Markets Company BV | Belgium | |||||
CapAfric Consulting (Pty) Ltd | South Africa | |||||
Capco Belgium BV | Belgium | |||||
Capco Consultancy (Malaysia) Sdn. Bhd | Malaysia | |||||
Capco Consultancy (Thailand) Ltd | Thailand | |||||
Capco Consulting Singapore Pte. Ltd | Singapore | |||||
Capco Greece Single Member P.C | Greece |
30
Capco Poland sp. z.o.o | Poland | |||||
The Capital Markets Company (UK) Ltd | U.K. | |||||
Capco (UK) 1, Limited | U.K. | |||||
The Capital Markets Company BV | Netherlands | |||||
The Capital Markets Company GmbH | Germany | |||||
Capco Austria GmbH | Austria | |||||
The Capital Markets Company Limited | Hong Kong | |||||
Capco Consulting Services (Guangzhou) Company Limited | China | |||||
The Capital Markets Company Limited | Canada | |||||
The Capital Markets Company S.á.r.l | Switzerland | |||||
Andrion AG | Switzerland | |||||
The Capital Markets Company S.A.S | France | |||||
The Capital Markets Company s.r.o | Slovakia | |||||
Wipro Ampion Holdings Pty Ltd | Australia | |||||
Wipro Revolution IT Pty Ltd | Australia | |||||
Crowdsprint Pty Ltd | Australia | |||||
Wipro Shelde Australia Pty Ltd | Australia | |||||
Wipro Appirio, Inc. | USA | |||||
Wipro Appirio (Ireland) Limited | Ireland | |||||
Wipro Appirio UK Limited | U.K. | |||||
Topcoder, LLC. | USA | |||||
Wipro Designit Services, Inc. | USA | |||||
Wipro Designit Services Limited | Ireland | |||||
Wipro do Brasil Technologia Ltda | Brazil | |||||
Wipro do Brasil Servicos Ltda | Brazil | |||||
Wipro Do Brasil Sistemas De Informatica Ltda | Brazil | |||||
Wipro Portugal S.A. | Portugal | |||||
Wipro Technologies GmbH | Germany | |||||
Wipro Business Solutions GmbH (4) | Germany | |||||
Wipro IT Services Austria GmbH | Austria | |||||
Wipro CRM Services UK Limited | U.K. | |||||
CloudSocius DMCC | United Arab Emirates |
(4) | Step Subsidiary details of Attune Netherlands B.V., Rizing Pte Ltd., Wipro Business Solutions GmbH are as follows: |
Subsidiaries |
Subsidiaries |
Subsidiaries |
Country of | |||
Attune Netherlands B.V. | Netherlands | |||||
Rizing Consulting USA, Inc. | USA | |||||
Rizing Germany GmbH | Germany | |||||
Attune Italia S.R.L | Italy | |||||
Rizing Management LLC | USA | |||||
Attune UK Ltd. | U.K. | |||||
Rizing Pte Ltd. | Singapore | |||||
Rizing New Zealand Ltd. | New Zealand | |||||
Rizing Philippines Inc. | Philippines | |||||
Rizing SDN BHD | Malaysia | |||||
Rizing Solutions Pty Ltd | Australia | |||||
Wipro Business Solutions GmbH | Germany | |||||
Wipro Technology Solutions S.R.L | Romania |
As at June 30, 2024, the Company held 43.7% interest in Drivestream Inc. and 27% interest in SDVerse LLC, accounted for using the equity method.
31
The list of controlled trusts are:
Name of the entity |
Country of incorporation | |
Wipro Equity Reward Trust | India | |
Wipro Foundation | India |
As per our report of even date attached | For and on behalf of the Board of Directors | |||||
for Deloitte Haskins & Sells LLP | Rishad A. Premji | Deepak M. Satwalekar | Srinivas Pallia | |||
Chartered Accountants | Chairman | Director | Chief Executive Officer and | |||
Firm Registration No: 117366W/W - 100018 | Managing Director | |||||
Anand Subramanian | Aparna C. Iyer | M. Sanaulla Khan | ||||
Partner | Chief Financial Officer | Company Secretary | ||||
Membership No. 110815 | ||||||
Bengaluru | ||||||
July 19, 2024 |
32
Exhibit 99.4
WIPRO LIMITED
CIN: L32102KA1945PLC020800 ; Registered Office : Wipro Limited, Doddakannelli, Sarjapur Road, Bengaluru - 560035, India
Website: www.wipro.com ; Email id info@wipro.com ; Tel: +91-80-2844 0011 ; Fax: +91-80-2844 0054
AUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE THREE MONTHS ENDED JUNE 30, 2024
UNDER IFRS (IASB)
(₹ in millions, except share and per share data, unless otherwise stated)
Particulars |
Three months ended | Year ended | ||||||||||||||||
June 30, 2024 |
March 31, 2024 |
June 30, 2023 |
March 31, 2024 |
|||||||||||||||
Income | ||||||||||||||||||
a) Revenue from operations |
219,638 | 222,083 | 228,310 | 897,603 | ||||||||||||||
b) Foreign exchange gains/(losses), net |
(206 | ) | (128 | ) | (62 | ) | 340 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||||
I |
Total income |
219,432 | 221,955 | 228,248 | 897,943 | |||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
Expenses |
||||||||||||||||||
a) Purchases of stock-in-trade |
664 | 825 | 978 | 3,832 | ||||||||||||||
b) Changes in inventories of stock-in-trade |
(2 | ) | 156 | (182 | ) | 278 | ||||||||||||
c) Employee benefits expense |
132,293 | 136,255 | 140,276 | 549,301 | ||||||||||||||
d) Depreciation, amortization and impairment expense |
7,289 | 8,405 | 7,380 | 34,071 | ||||||||||||||
e) Sub-contracting and technical fees |
24,767 | 24,318 | 26,385 | 103,030 | ||||||||||||||
f) Facility expenses |
4,133 | 3,727 | 3,452 | 14,556 | ||||||||||||||
g) Travel |
3,937 | 3,349 | 4,175 | 15,102 | ||||||||||||||
h) Communication |
993 | 956 | 1,249 | 4,878 | ||||||||||||||
i) Legal and professional fees |
2,282 | 2,324 | 2,251 | 9,559 | ||||||||||||||
j) Software license expense for internal use |
4,605 | 4,395 | 4,607 | 18,378 | ||||||||||||||
k) Marketing and brand building |
804 | 667 | 977 | 3,555 | ||||||||||||||
l) Lifetime expected credit loss/ (write-back) |
(26 | ) | 367 | 300 | 640 | |||||||||||||
m) (Gain)/loss on sale of property, plant and equipment, net |
(23 | ) | 102 | 78 | (2,072 | ) | ||||||||||||
n) Other expenses |
1,647 | 736 | 1,806 | 6,736 | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
II |
Total expenses |
183,363 | 186,582 | 193,732 | 761,844 | |||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
III |
Finance expenses |
3,288 | 3,308 | 3,086 | 12,552 | |||||||||||||
IV |
Finance and other income |
7,480 | 6,759 | 6,542 | 23,896 | |||||||||||||
V |
Share of net profit/ (loss) of associate and joint venture accounted for using the equity method |
(45 | ) | (202 | ) | 3 | (233 | ) | ||||||||||
|
|
|
|
|
|
|
|
|||||||||||
VI |
Profit before tax [I-II-III+IV+V] |
40,216 | 38,622 | 37,975 | 147,210 | |||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
VII |
Tax expense |
9,850 | 10,040 | 9,115 | 36,089 | |||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
VIII |
Profit for the period [VI-VII] |
30,366 | 28,582 | 28,860 | 111,121 | |||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
Other comprehensive income (OCI) |
||||||||||||||||||
Items that will not be reclassified to profit or loss in subsequent periods |
||||||||||||||||||
Remeasurements of the defined benefit plans, net |
58 | (177 | ) | (45 | ) | 82 | ||||||||||||
Net change in fair value of investment in equity instruments measured at fair value through OCI |
(319 | ) | (506 | ) | 16 | (473 | ) | |||||||||||
Items that will be reclassified to profit or loss in subsequent periods |
||||||||||||||||||
Foreign currency translation differences |
(1,399 | ) | (844 | ) | (362 | ) | 4,219 | |||||||||||
Reclassification of foreign currency translation differences on liquidation of subsidiaries to statement of income |
^ | (2 | ) | 2 | (198 | ) | ||||||||||||
Net change in time value of option contracts designated as cash flow hedges, net of taxes |
4 | 271 | 40 | 198 | ||||||||||||||
Net change in intrinsic value of option contracts designated as cash flow hedges, net of taxes |
85 | 15 | 512 | 128 | ||||||||||||||
Net change in fair value of forward contracts designated as cash flow hedges, net of taxes |
218 | 355 | 1,648 | 1,655 | ||||||||||||||
Net change in fair value of investment in debt instruments measured at fair value through OCI, net of taxes |
184 | 261 | 1,039 | 1,516 | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
IX |
Total other comprehensive income for the period, net of taxes |
(1,169 | ) | (627 | ) | 2,850 | 7,127 | |||||||||||
|
|
|
|
|
|
|
|
|||||||||||
Total comprehensive income for the period [VIII+IX] |
29,197 | 27,955 | 31,710 | 118,248 | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
X |
Profit for the period attributable to: |
|||||||||||||||||
Equity holders of the Company |
30,032 | 28,346 | 28,701 | 110,452 | ||||||||||||||
Non-controlling interests |
334 | 236 | 159 | 669 | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
30,366 | 28,582 | 28,860 | 111,121 | |||||||||||||||
|
|
|
|
|
|
|
|
1
Total comprehensive income for the period attributable to: |
||||||||||||||||||
Equity holders of the Company |
28,865 | 27,781 | 31,640 | 117,744 | ||||||||||||||
Non-controlling interests |
332 | 174 | 70 | 504 | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
29,197 | 27,955 | 31,710 | 118,248 | |||||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
XI |
Paid up equity share capital (Par value ₹ 2 per share) |
10,460 | 10,450 | 10,978 | 10,450 | |||||||||||||
|
|
|
|
|
|
|
|
|||||||||||
XII |
Reserves excluding revaluation reserves and Non-controlling interests as per balance sheet |
739,433 | ||||||||||||||||
|
|
|||||||||||||||||
XIII | Earnings per share (EPS) | |||||||||||||||||
(Equity shares of par value of ₹ 2/- each) |
||||||||||||||||||
(EPS for the three months ended periods are not annualized) |
||||||||||||||||||
Basic (in ₹) |
5.75 | 5.43 | 5.23 | 20.89 | ||||||||||||||
Diluted (in ₹) |
5.73 | 5.41 | 5.12 | 20.82 | ||||||||||||||
|
|
|
|
|
|
|
|
^ | Value is less than 0.5 |
1. | The audited consolidated financial results of the Company for the three months ended June 30, 2024, have been approved by the Board of Directors of the Company at its meeting held on July 19, 2024. The Company confirms that its statutory auditors, Deloitte Haskins & Sells LLP have issued an audit report with unmodified opinion on the consolidated financial results. |
2. | The above consolidated financial results have been prepared on the basis of the audited interim condensed consolidated financial statements which are prepared in accordance with International Financial Reporting Standards and its interpretations (IFRS), as issued by the International Accounting Standards Board (IASB). All amounts included in the consolidated financial results (including notes) are reported in millions of Indian rupees (₹ in millions) except share and per share data, unless otherwise stated. |
3. | (Gain)/loss on sale of property, plant and equipment, net has been reclassified from Other expenses and is presented separately for the three months ended June 30, 2023. Gain on sale of property, plant and equipment for the year ended March 31, 2024, includes gain on sale of immovable properties of ₹ (2,357). |
4. | List of subsidiaries, associate and joint venture as at June 30, 2024 are provided in the table below: |
Subsidiaries |
Subsidiaries |
Subsidiaries |
Country of | |||
Attune Consulting India Private Limited | India | |||||
Capco Technologies Private Limited | India | |||||
Wipro Technology Product Services Private Limited | India | |||||
Wipro Chengdu Limited | China | |||||
Wipro Holdings (UK) Limited | U.K. | |||||
Wipro Financial Outsourcing Services Limited | U.K. | |||||
Wipro UK Limited | U.K. | |||||
Wipro HR Services India Private Limited | India | |||||
Wipro IT Services Bangladesh Limited | Bangladesh | |||||
Wipro IT Services UK Societas | U.K. | |||||
Designit A/S | Denmark | |||||
Designit Denmark A/S | Denmark | |||||
Designit Germany GmbH | Germany | |||||
Designit Oslo A/S | Norway | |||||
Designit Spain Digital, S.L.U | Spain | |||||
Designit Sweden AB | Sweden | |||||
Designit T.L.V Ltd. | Israel | |||||
Wipro Bahrain Limited Co. W.L.L | Bahrain | |||||
Wipro Czech Republic IT Services s.r.o. | Czech Republic | |||||
Wipro CRM Services (formerly known as Wipro 4C NV) | Belgium | |||||
Wipro 4C Consulting France SAS | France | |||||
Wipro CRM Services B.V. (formerly known as Wipro 4C Nederland B.V) | Netherlands | |||||
Wipro CRM Services ApS | Denmark | |||||
Wipro CRM Services UK Limited (1) | U.K. | |||||
Grove Holdings 2 S.á.r.l | Luxembourg | |||||
Capco Solution Services GmbH | Germany |
2
The Capital Markets Company Italy Srl | Italy | |||||
Capco Brasil Serviços E Consultoria Ltda | Brazil | |||||
The Capital Markets Company BV (1) | Belgium | |||||
PT. WT Indonesia | Indonesia | |||||
Rainbow Software LLC | Iraq | |||||
Wipro Arabia Limited (2) | Saudi Arabia | |||||
Womens Business Park Technologies Limited (2) | Saudi Arabia | |||||
Wipro Doha LLC | Qatar | |||||
Wipro Gulf LLC | Sultanate of Oman | |||||
Wipro Holdings Hungary Korlátolt Felelősségű Társaság | Hungary | |||||
Wipro Holdings Investment Korlátolt Felelősségű Társaság | Hungary | |||||
Wipro Information Technology Netherlands BV. | Netherlands | |||||
Wipro do Brasil Technologia Ltda (1) | Brazil | |||||
Wipro Information Technology Kazakhstan LLP | Kazakhstan | |||||
Wipro Outsourcing Services (Ireland) Limited | Ireland | |||||
Wipro Portugal S.A. (1) | Portugal | |||||
Wipro Solutions Canada Limited | Canada | |||||
Wipro Technologies Limited | Russia | |||||
Wipro Technologies Peru SAC | Peru | |||||
Wipro Technologies W.T. Sociedad Anonima | Costa Rica | |||||
Wipro Technology Chile SPA | Chile | |||||
Wipro IT Service Ukraine, LLC | Ukraine | |||||
Wipro IT Services Poland SP Z.O.O | Poland | |||||
Wipro IT Services S.R.L. | Romania | |||||
Wipro Regional Headquarter | Saudi Arabia | |||||
Wipro Technologies Australia Pty Ltd | Australia | |||||
Wipro Ampion Holdings Pty Ltd (1) | Australia | |||||
Wipro Technologies SA | Argentina | |||||
Wipro Technologies SA DE CV | Mexico | |||||
Wipro Technologies South Africa (Proprietary) Limited | South Africa | |||||
Wipro Technologies Nigeria Limited | Nigeria | |||||
Wipro Technologies SRL | Romania | |||||
Wipro (Thailand) Co. Limited | Thailand | |||||
Wipro Japan KK | Japan | |||||
Wipro Networks Pte Limited | Singapore | |||||
Wipro (Dalian) Limited | China | |||||
Wipro Technologies SDN BHD | Malaysia | |||||
Wipro Overseas IT Services Private Limited | India | |||||
Wipro Philippines, Inc. | Philippines | |||||
Wipro Shanghai Limited | China | |||||
Wipro Trademarks Holding Limited | India | |||||
Wipro Travel Services Limited | India | |||||
Wipro VLSI Design Services India Private Limited | India | |||||
Wipro, LLC | USA | |||||
Wipro Gallagher Solutions, LLC | USA | |||||
Wipro Insurance Solutions, LLC | USA | |||||
Wipro IT Services, LLC | USA | |||||
Aggne Global Inc. (3) | USA | |||||
Cardinal US Holdings, Inc.(1) | USA | |||||
Designit North America, Inc. | USA | |||||
Edgile, LLC | USA | |||||
HealthPlan Services, Inc. (1) | USA | |||||
Infocrossing, LLC | USA | |||||
International TechneGroup Incorporated (1) | USA | |||||
Wipro NextGen Enterprise Inc. (1) | USA |
3
Rizing Intermediate Holdings, Inc. (1) | USA | |||||
Wipro Appirio, Inc. (1) | USA | |||||
Wipro Designit Services, Inc. (1) | USA | |||||
Wipro Telecom Consulting LLC | USA | |||||
Wipro VLSI Design Services, LLC | USA | |||||
Aggne Global IT Services Private Limited (3) | India |
The Company controls The Wipro SA Broad Based Ownership Scheme Trust, Wipro SA Broad Based Ownership Scheme SPV (RF) (PTY) LTD incorporated in South Africa and Wipro Foundation in India.
(2) | All the above direct subsidiaries are 100% held by the Company except that the Company holds 66.67% of the equity securities of Wipro Arabia Limited and 55% of the equity securities of Womens Business Park Technologies Limited are held by Wipro Arabia Limited. |
(3) | The company holds 60% of the equity securities of Aggne Global IT Services Private Limited and Wipro IT Services, LLC holds 60% of the equity securities of Aggne Global Inc. |
(1) | Step Subsidiary details of Cardinal US Holdings, Inc., HealthPlan Services, Inc., International TechneGroup Incorporated, Wipro NextGen Enterprise Inc., Rizing Intermediate Holdings, Inc., The Capital Markets Company BV, Wipro Ampion Holdings Pty Ltd, Wipro Appirio, Inc., Wipro Designit Services, Inc., Wipro do Brasil Technologia Ltda, Wipro Portugal S.A. and Wipro CRM Services UK Limited are as follows: |
Subsidiaries |
Subsidiaries |
Subsidiaries |
Country of | |||
Cardinal US Holdings, Inc. | USA | |||||
ATOM Solutions LLC | USA | |||||
Capco Consulting Services LLC | USA | |||||
Capco RISC Consulting LLC | USA | |||||
The Capital Markets Company LLC | USA | |||||
HealthPlan Services, Inc. | USA | |||||
HealthPlan Services Insurance Agency, LLC | USA | |||||
International TechneGroup Incorporated | USA | |||||
International TechneGroup Ltd. | U.K. | |||||
ITI Proficiency Ltd | Israel | |||||
MechWorks S.R.L. | Italy | |||||
Wipro NextGen Enterprise Inc. | USA | |||||
LeanSwift AB | Sweden | |||||
Rizing Intermediate Holdings, Inc. | USA | |||||
Rizing Lanka (Private) Ltd | Sri Lanka | |||||
Attune Netherlands B.V. (4) | Netherlands | |||||
Rizing Solutions Canada Inc. | Canada | |||||
Rizing LLC | USA | |||||
Aasonn Philippines Inc. | Philippines | |||||
Rizing B.V. | Netherlands | |||||
Rizing Consulting Ireland Limited | Ireland | |||||
Rizing Consulting Pty Ltd. | Australia | |||||
Rizing Geospatial LLC | USA | |||||
Rizing GmbH | Germany | |||||
Rizing Limited | U.K. | |||||
Rizing Pte Ltd. (4) | Singapore | |||||
The Capital Markets Company BV | Belgium | |||||
CapAfric Consulting (Pty) Ltd | South Africa | |||||
Capco Belgium BV | Belgium | |||||
Capco Consultancy (Malaysia) Sdn. Bhd | Malaysia | |||||
Capco Consultancy (Thailand) Ltd | Thailand | |||||
Capco Consulting Singapore Pte. Ltd | Singapore | |||||
Capco Greece Single Member P.C | Greece | |||||
Capco Poland sp. z.o.o | Poland | |||||
The Capital Markets Company (UK) Ltd | U.K. | |||||
Capco (UK) 1, Limited | U.K. | |||||
The Capital Markets Company BV | Netherlands |
4
The Capital Markets Company GmbH | Germany | |||||
Capco Austria GmbH | Austria | |||||
The Capital Markets Company Limited | Hong Kong | |||||
Capco Consulting Services (Guangzhou) Company Limited | China | |||||
The Capital Markets Company Limited | Canada | |||||
The Capital Markets Company S.á.r.l | Switzerland | |||||
Andrion AG | Switzerland | |||||
The Capital Markets Company S.A.S | France | |||||
The Capital Markets Company s.r.o | Slovakia | |||||
Wipro Ampion Holdings Pty Ltd | Australia | |||||
Wipro Revolution IT Pty Ltd | Australia | |||||
Crowdsprint Pty Ltd | Australia | |||||
Wipro Shelde Australia Pty Ltd | Australia | |||||
Wipro Appirio, Inc. | USA | |||||
Wipro Appirio (Ireland) Limited | Ireland | |||||
Wipro Appirio UK Limited | U.K. | |||||
Topcoder, LLC. | USA | |||||
Wipro Designit Services, Inc. | USA | |||||
Wipro Designit Services Limited | Ireland | |||||
Wipro do Brasil Technologia Ltda | Brazil | |||||
Wipro do Brasil Servicos Ltda | Brazil | |||||
Wipro Do Brasil Sistemas De Informatica Ltda | Brazil | |||||
Wipro Portugal S.A. | Portugal | |||||
Wipro Technologies GmbH | Germany | |||||
Wipro Business Solutions GmbH (4) | Germany | |||||
Wipro IT Services Austria GmbH | Austria | |||||
Wipro CRM Services UK Limited | U.K. | |||||
CloudSocius DMCC | United Arab Emirates | |||||
(4) Step Subsidiary details of Attune Netherlands B.V., Rizing Pte Ltd., Wipro Business Solutions GmbH are as follows:
| ||||||
Subsidiaries |
Subsidiaries |
Subsidiaries |
Country of | |||
Attune Netherlands B.V. | Netherlands | |||||
Rizing Consulting USA, Inc. | USA | |||||
Rizing Germany GmbH | Germany | |||||
Attune Italia S.R.L | Italy | |||||
Rizing Management LLC | USA | |||||
Attune UK Ltd. | U.K. | |||||
Rizing Pte Ltd. | Singapore | |||||
Rizing New Zealand Ltd. | New Zealand | |||||
Rizing Philippines Inc. | Philippines | |||||
Rizing SDN BHD | Malaysia | |||||
Rizing Solutions Pty Ltd | Australia | |||||
Wipro Business Solutions GmbH | Germany | |||||
Wipro Technology Solutions S.R.L | Romania |
As at June 30, 2024, the Company held 43.7% interest in Drivestream Inc. and 27% interest in SDVerse LLC, accounted for using the equity method.
The list of controlled trusts are:
Name of the entity | Country of incorporation | |||||
Wipro Equity Reward Trust | India | |||||
Wipro Foundation | India |
5
5. | Segment Information |
The Company is organized into the following operating segments: IT Services and IT Products.
IT Services: The IT services segment primarily consists of IT services offerings to customers organized by four Strategic Market Units (SMUs)Americas 1, Americas 2, Europe and Asia Pacific Middle East and Africa (APMEA). Americas 1 and Americas 2 are primarily organized by industry sector, while Europe and APMEA are organized by countries.
Americas 1 includes the entire business of Latin America (LATAM) and the following industry sectors in the United States of America: communications, media and information services, software and gaming, new age technology, consumer goods, medical devices and life sciences, healthcare, and technology products and services. Americas 2 includes the entire business in Canada and the following industry sectors in the United States of America: banking and financial services, energy, manufacturing and resources, capital markets and insurance, and hi-tech. Europe consists of the United Kingdom and Ireland, Switzerland, Germany, Benelux, the Nordics and Southern Europe. APMEA consists of Australia and New Zealand, India, Middle East, South East Asia, Japan and Africa.
Revenue from each customer is attributed to the respective SMUs based on the location of the customers primary buying center of such services. With respect to certain strategic global customers, revenue may be generated from multiple countries based on such customers buying centers, but the total revenue related to these strategic global customers are attributed to a single SMU based on the geographical location of key decision makers.
Our IT Services segment provides a range of IT and IT enabled services which include digital strategy advisory, customer centric design, technology consulting, IT consulting, custom application design, development, re-engineering and maintenance, systems integration, package implementation, cloud and infrastructure services, business process services, cloud, mobility and analytics services, research and development and hardware and software design.
IT Products: The Company is a value-added reseller of security, packaged and SaaS software for leading international brands. In certain total outsourcing contracts of the IT Services segment, the Company delivers hardware, software products and other related deliverables. Revenue relating to these items is reported as revenue from the sale of IT Products.
The Chief Executive Officer (CEO) and Managing Director of the Company has been identified as the Chief Operating Decision Maker as defined by IFRS 8, Operating Segments. The CEO of the Company evaluates the segments based on their revenue growth and operating income.
Assets and liabilities used in the Companys business are not identified to any of the operating segments, as these are used interchangeably between segments. Management believes that it is currently not practicable to provide segment disclosures relating to total assets and liabilities since a meaningful segregation of the available data is onerous.
Information on reportable segments for the three months ended June 30, 2024, March 31, 2024, and June 30, 2023, year ended March 31, 2024 are as follows:
Particulars |
Three months ended | Year ended | ||||||||||||||
June 30, 2024 |
March 31, 2024 |
June 30, 2023 |
March 31, 2024 |
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Audited | Audited | Audited | Audited | |||||||||||||
Segment revenue |
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IT Services |
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Americas 1 |
67,700 | 67,229 | 65,607 | 268,230 | ||||||||||||
Americas 2 |
67,338 | 67,724 | 68,303 | 269,482 | ||||||||||||
Europe |
60,422 | 61,344 | 67,134 | 253,927 | ||||||||||||
APMEA |
23,503 | 24,499 | 26,510 | 102,177 | ||||||||||||
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Total of IT Services |
218,963 | 220,796 | 227,554 | 893,816 | ||||||||||||
IT Products |
469 | 1,159 | 694 | 4,127 | ||||||||||||
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Total segment revenue |
219,432 | 221,955 | 228,248 | 897,943 | ||||||||||||
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Segment result |
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IT Services |
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Americas 1 |
13,687 | 14,081 | 13,537 | 59,364 | ||||||||||||
Americas 2 |
15,533 | 15,791 | 14,169 | 59,163 | ||||||||||||
Europe |
5,873 | 7,933 | 9,968 | 33,354 | ||||||||||||
APMEA |
2,441 | 3,401 | 2,800 | 12,619 | ||||||||||||
Unallocated |
(1,477 | ) | (5,011 | ) | (3,957 | ) | (20,304 | ) | ||||||||
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Total of IT Services |
36,057 | 36,195 | 36,517 | 144,196 | ||||||||||||
IT Products |
(47 | ) | 143 | (161 | ) | (371 | ) | |||||||||
Reconciling Items |
59 | (965 | ) | (1,840 | ) | (7,726 | ) | |||||||||
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Total segment result |
36,069 | 35,373 | 34,516 | 136,099 | ||||||||||||
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Finance expenses |
(3,288 | ) | (3,308 | ) | (3,086 | ) | (12,552 | ) | ||||||||
Finance and other income |
7,480 | 6,759 | 6,542 | 23,896 | ||||||||||||
Share of net profit/ (loss) of associate and joint venture accounted for using the equity method |
(45 | ) | (202 | ) | 3 | (233 | ) | |||||||||
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Profit before tax |
40,216 | 38,622 | 37,975 | 147,210 | ||||||||||||
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Notes:
a) | Reconciling Items includes elimination of inter-segment transactions and other corporate activities. |
b) | Revenue from sale of Company owned intellectual properties is reported as part of IT Services revenues. |
6
c) | For the purpose of segment reporting, the Company has included the net impact of foreign exchange gains/(losses), net in revenues amounting to ₹ (206), ₹ (128) and ₹ (62) for the three months ended June 30, 2024, March 31, 2024 and June 30, 2023 respectively and ₹ 340 for the year ended March 31, 2024, which is reported under foreign exchange gains/(losses), net in the consolidated financial results. |
d) | Restructuring cost of ₹ Nil, ₹ Nil and ₹ 1,887 is included under Reconciling Items for the three months ended June 30, 2024, March 31, 2024, and June 30, 2023, respectively and ₹ 6,814 for the year ended March 31, 2024. |
e) | Reconciling Items for the three months and year ended March 31, 2024 includes employee costs of ₹ 921 towards outgoing CEO and Managing Director. |
f) | Unallocated within IT Services segment results is after recognition of amortization and impairment expense on intangible assets of ₹ 1,782, ₹ 2,569, ₹ 1,810 and ₹ 11,756 for the three months ended June 30, 2024, March 31, 2024, and June 30, 2023 and year ended March 31, 2024 respectively, and change in fair value of contingent consideration of ₹ Nil, ₹ (792), ₹ (16) and ₹ (1,300) for the three months ended June 30, 2024, March 31, 2024, and June 30, 2023 and year ended March 31, 2024 respectively. |
g) | Segment results of IT Services segment are after recognition of share-based compensation expense ₹ 1,329, ₹ 1,293 and ₹ 1,544 for the three months ended June 30, 2024, March 31, 2024, and June 30, 2023, respectively and ₹ 5,590 for the year ended March 31, 2024. |
h) | Segment results of IT Services segment are after recognition of (gain)/loss on sale of property, plant and equipment of ₹ (23), ₹ 102 and ₹ 78 for the three months ended June 30, 2024, March 31, 2024, and June 30, 2023, respectively and ₹ (2,072) for the year ended March 31, 2024. |
By order of the Board, | For, Wipro Limited | |
Place: Bengaluru Date: July 19, 2024 |
Rishad A. Premji Chairman |
7
Exhibit 99.5
W ipro Limited Highlights for the Quarter ended June 30, 2024 REVENUE QoQ Constant YoY Constant Operating $2.63 Bn Currency Currency Margin 1.0% 4.9% 16.5% STRATEGIC MARKET UNITS MIX 30.9% AMERICAS 1 30.8% AMERICAS 2 27.6% EUROPE 10.7% APMEA SECTOR MIX 34.0% 19.2% 13.9% 11.5% 11.2% 6.4% 3.8% Banking, Energy, Financial Consumer Health Technology Natural Manufacturing Communication Services Resources & Insurance and Utilities TOTAL BOOKINGS LARGE DEAL TCV 11.8% YoY $1.2 Bn 3.6% YoY BOOKINGS $3.3 Bn Constant Currency Constant Currency Revenue from our IT Services business segment to be in the range of $2,600 million to OUTLOOK $2,652 million*. This translates to a sequential guidance of (-)1.0% to +1.0% in constant currency terms. for the Quarter ending * Outlook for the Quarter ending September 30, 2024, is based on the following exchange rates: GBP/USD at 1.26, Euro/USD at September 30, 2024 1.08, AUD/USD at 0.66, USD/INR at 83.27 and CAD/USD at 0.73 CUSTOMER CONCENTRATION TOP1 4.0% 13.6% TOP 10 22.5% TOP 5 TOTAL HEADCOUNT 234,391 ATTRITION VOL TTM 14.1% OFFSHORE REVENUE NET UTILIZATION 87.7% 57.9% PERCENTAGE OF SERVICES EXCLUDING TRAINEES
W ipro Limited Results for the Quarter ended June 30, 2024 FY 24-25 FY 2324 FY 22-23 A IT Services Q1 FY Q4 Q3 Q2 Q1 FY IT Services Revenues ($Mn) 2625.9 10,805.3 2,657.4 2,656.1 2,713.3 2,778.5 11,234.4 Sequential Growth -1.2% -3.8% 0.1% -2.1% -2.3% -2.1% 7.5% Sequential Growth in Constant Currency Note 2 -1.0% -4.4% -0.3% -1.7% -2.0% -2.8% 11.2% Operating Margin % Note 3 16.5% 16.1% 16.4% 16.0% 16.1% 16.0% 15.6% Strategic Market Units Mix Americas 1 30.9% 30.0% 30.4% 31.0% 29.8% 28.8% 28.8% Americas 2 30.8% 30.1% 30.7% 30.0% 29.9% 30.0% 30.8% Europe 27.6% 28.4% 27.8% 27.7% 28.6% 29.5% 28.6% APMEA 10.7% 11.5% 11.1% 11.3% 11.7% 11.7% 11.8% Sectors Mix Banking, Financial Services and Insurance 34.0% 33.4% 33.5% 32.7% 33.6% 33.9% 35.0% Consumer 19.2% 18.8% 18.7% 18.8% 18.7% 18.7% 18.9% Health 13.9% 13.2% 14.1% 13.9% 12.7% 12.2% 11.7% Energy, Natural Resources and Utilities 11.2% 11.8% 11.9% 11.8% 11.6% 12.0% 11.5% Technology 11.5% 11.7% 11.4% 12.1% 12.1% 11.3% 11.3% Manufacturing 6.4% 6.9% 6.6% 6.7% 7.0% 7.3% 6.9% Communications 3.8% 4.2% 3.8% 4.0% 4.3% 4.6% 4.7% Total Bookings Total Bookings TCV ($Mn) Note 4 3,284 14,907 3,607 3,791 3,785 3,724 Large deal TCV ($Mn) Note 5 1,154 4,573 1,191 909 1,275 1,198 3,897 Guidance ($Mn) Note 1 2617 2670 26152669 2,617-2,672 2,722-2,805 2,753-2,811 Guidance restated based on 2612 2665 26242678 2,605-2,659 2,712-2,795 2,773-2,831 actual currency realized ($Mn) Revenues performance against guidance ($Mn) 2626 2,657 2,656 2,713 2,779
FY 24-25 FY 2324 FY 22-23 Q1 FY Q4 Q3 Q2 Q1 FY Customer size distribution (TTM) > $100Mn 22 22 22 22 22 21 19 > $75Mn 29 32 32 31 28 28 29 > $50Mn 43 45 45 46 51 51 53 > $20Mn 117 116 116 121 122 123 117 > $10Mn 192 205 205 203 207 207 210 > $5Mn 301 301 301 305 313 319 315 > $3Mn 407 409 409 430 437 444 436 > $1Mn 735 741 741 750 774 769 766 Revenue from Existing customers % 99.7% 98.9% 97.8% 98.8% 99.1% 99.6% 97.4% 437 Number of new customers 43 229 60 55 49 65 Total Number of active customers 1,364 1,371 1,371 1,349 1,393 1,444 1,479 Customer Concentration Top customer 4.0% 3.0% 3.8% 3.0% 3.0% 3.1% 3.2% Top 5 13.6% 13.0% 13.4% 12.1% 12.3% 12.5% 12.9% Top 10 22.5% 21.4% 22.0% 20.5% 20.6% 20.5% 20.7% % of Revenue USD 61% 60% 60% 61% 60% 59% 61% GBP 11% 11% 11% 10% 11% 11% 10% EUR 10% 10% 10% 10% 10% 11% 10% INR 4% 5% 5% 5% 5% 5% 5% AUD 4% 4% 4% 4% 4% 4% 4% CAD 3% 3% 3% 3% 3% 3% 3% Others 7% 7% 7% 7% 7% 7% 7% Closing Employee Count 234,391 234,054 234,054 240,234 244,707 249,758 258,570 Sales & Support Staff (IT Services) 15,539 15,601 15,601 15,833 16,778 16,942 16,999 Utilization Note 1 & 6 Net Utilization (Excluding Trainees) 87.7% 84.8% 86.9% 84.0% 84.5% 83.7% 81.2% Attrition Voluntary TTM (IT Services excl. DOP) 14.1% 14.2% 14.2% 14.2% 15.5% 17.3% 19.4% DOP % Post Training Quarterly 8.3% 9.1% 8.9% 8.3% 9.8% 9.2% 9.9%
FY 24-25 FY 2324 FY 22-23 B Q1 FY Q4 Q3 Q2 Q1 FY Revenue Mix Note 6 Revenue from FPP 57.6% 59.2% 58.9% 59.9% 58.4% 59.7% 59.4% Offshore Revenue % of Services 57.9% 59.9% 60.4% 59.8% 59.9% 59.5% 59.3% Growth Metrics C Note 2 for the Quarter ended June 30, 2024, Q125 Q125 Q125 Q125 Reported Reported CC CC QoQ% YoY% QoQ% YoY% IT Services -1.2% -5.5% -1.0% -4.9% Strategic Market Units Americas 1 0.3% 1.3% 0.4% 1.4% Americas 2 -0.9% -3.0% -0.7% -2.5% Europe -1.9% -11.6% -1.4% -10.7% APMEA -4.4% -13.2% -4.2% -11.7% Sectors Banking, Financial Services and Insurance 0.3% -5.3% 0.5% -4.8% Consumer 1.5% -2.9% 1.6% -2.3% Health -2.9% 7.0% -2.8% 7.2% Energy, Natural Resources and Utilities -6.5% -12.0% -6.3% -11.1% Technology -0.7% -3.8% -0.5% -3.2% Manufacturing -3.4% -15.7% -3.0% -14.5% Communications -2.0% -21.9% -1.8% -20.6% D Annexure to Datasheet Segment-wise breakup of Q1 FY24-25 (INR Mn) Cost of Revenues, S&M and G&A Reconciling Particulars IT Services IT Products Total Items Cost of revenues 152,801 501 4 153,306 Selling and marketing expenses 15,831 10 3 15,844 General and administrative expenses 14,274 5 -66 14,213 Total 182,906 516 -59 183,363 Note 1: Guidance and Utilization numbers for FY24 have not been restated to include India State Run Enterprise (ISRE) business. All other numbers for the previous quarters have been restated to include ISRE business Note 2: Constant currency (CC) for a period is the product of volumes in that period times the average actual exchange rate of the corresponding comparative period Note 3: IT Services Operating Margin refers to Segment Results Total as reflected in IFRS financials Note 4: Total Bookings refers to the total contract value of all orders that were booked during the period including new orders, renewals, and changes to existing contracts. Bookings do not reflect subsequent terminations or reductions related to bookings originally recorded in prior fiscal periods. Bookings are recorded using then-existing foreign currency exchange rates and are not subsequently adjusted for foreign currency exchange rate fluctuations. The revenues from these contracts accrue over the tenure of the contract. For constant currency growth rates, refer note 2 Note 5: Large deal bookings constitute of deals greater than or equal to $30 million in total contract value terms Note 6: IT Services excluding DOP (Digital Operations and Platforms) and entities which are not integrated in Wipro limited systems until that quarter.
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